First-half sales rose 9% to £3.5bn, supported by higher and more targeted marketing spend. Online International and UK sales grew 24% and 7%, respectively, partially offset by a small decline in UK Retail stores.
Pre-tax profit rose 11% to £569mn, driven by sales growth and improved operational efficiencies.
Free cash flow was flat at £0.4bn, as increased investment in property and infrastructure offset stronger profits. Net debt, including lease liabilities, rose from £1.5bn to £1.9bn.
Full-year guidance has been upgraded slightly, with sales now expected to grow by 7% to £7.5bn, and pre-tax profits to rise 8% to £1.3bn.
The group completed £355mn of share buybacks over the period and announced an interim dividend of 98p per share, up 13%.
The shares were up 2.3% in early trading.
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This article is original Hargreaves Lansdown content, published by Hargreaves Lansdown. It was correct as at the date of publication, and our views may have changed since then. Unless otherwise stated estimates, including prospective yields, are a consensus of analyst forecasts provided by LSEG. These estimates are not a reliable indicator of future performance. Yields are variable and not guaranteed. Investments rise and fall in value so investors could make a loss.
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