THE new owners of Debenhams reported a sharp rise in profits in the first set of results since its sale.

Debenhams is owned by a group of private equity companies, who said trading profits grew by 14 per cent to £184.7m, with turnover up five per cent at £1.9bn in the year to August 28.

The company, which was bought for £1.7bn in December, also said sales had continued to improve since the end of the financial year.

It pledged to accelerate its store opening programme, with 20 outlets due to open during the next four years and a trial of mini-Debenhams stores expected to take place in the spring.

The smaller sites will be aimed at the womenswear market and will be in those towns not big enough to accomodate a full Debenhams outlet.

Across the year, pre-tax profits more than doubled to £300.5m, although this partly reflected property transactions.

Debenhams chief executive Rob Templeman said: "We are particularly pleased with the strong underlying sales performance in the second half of the financial year following acquisition.

"Sales trends have continued to improve since the year end.

"We are enjoying strong current trading and are confident about the future."