Harvey Nichols profits struck by refurbishment

London - British department store Harvey Nichols profits for 2015-2016 were hit by its refurbishment plan for its Knightsbridge store and investments into its digital channel.

According to accounts filed at the Companies House before Christmas, Harvey Nichols profits fell 49 percent to 3 million pounds during the financial year 2015-2016. Sales grew 1 percent from 193.1 million pounds to 194.5 million pounds year on year.

"We have made a number of necessary investments this year – in our stores, digital channels and people — in order to continue the radical transformation of the brand that will enable us to adapt to changing customer preferences and achieve future growth at the bottom line," said Harvey Nichols Group CEO Stacey Cartwright to WWD on the results.

Harvey Nichols transformed the ground floor of its Knightsbridge store this year to house its new beauty destination and accessories and jewellery department area, which aim to offer customers the best of the best designer brands and services.

The beauty area now offers a number of additional services such as nail bar, spa and hair blow-outs and the new designer accessories department features brands such as Valentino, Givenchy and Alexander McQueen as well as range of perks such as a concierge service.

In addition, Harvey Nichols has invested in strengthening its digital channel over the year and currently delivers to over 200 countries, with the option to pay in 74 currencies.

Photo: Courtesy of Harvey Nichols