Boohoo announces rebranding as Debenhams

Boohoo (BHOOY) Group said it plans to change its name to Debenhams Group after the successful turnaround of the business it bought out of administration in 2021. “The business model is stock-lite and capital-lite. It is very profitable and highly cash generative. For our consumers, Debenhams is once again becoming their destination of choice. It is an iconic British heritage brand with huge brand awareness and significant consumer trust.” Debenhams said it generated GMV of GBP 654 m and net sales of GBP 205m, with a c.12% EBITDA margin on a net sales basis. “We see a clear runway to Debenhams becoming a business in the medium term with a GBP multi-billion GMV and an EBITDA margin on net sales of c.20%.” The company added: “Whilst we continue to invest in the Youth Brands in the short term as part of their turnaround, we are raising our medium term guidance for Debenhams to EBITDA margins of c.20%. Medium term targets for Karen Millen and the Youth Brands remain unchanged, with double digit EBITDA margins for Karen Millen and 6-8% EBITDA margins for the Youth Brands.” Reflective of this new strategy and the acceleration of the Group to the Debenhams led business and operating model, the Group announces that Phil Ellis will become Group CFO and a member of the board, replacing Stephen Morana with immediate effect.