DEPARTMENT store group Debenhams said it expected to report improved market share and profits following the Christmas and New Year period.

The forecast came as the group - acquired by a consortium of private equity companies for £1.7bn in December 2003 - provided figures for the 13 weeks to November 27 showing an eight per cent rise in turnover to £518.5m.

Debenhams said all its product categories had performed well during the period, with demand for its Designers at Debenhams range particularly strong.

It was also helped by initiatives to improve its supply chain, as the company was better able to keep shelves stocked and introduce newer products.

With like-for-like sales up six per cent, Debenhams said trading profits for the autumn showed a 42.8 per cent improvement to £57.1m.

The group said plans were also in place to speed up the group's store refit programme, which saw three recent refurbishments - at Scarborough, Crawley and Folkestone - produce good returns.

A £6m project to improve Debenhams' flagship store in London's Oxford Street is about to get under way.

Debenhams recently opened one of its largest stores in the new wing of Gateshead's MetroCentre. The group has 107 outlets but could open up to 20 more over the next four years.