John Lewis is expected to say that profits at the department store chain have returned to pre-recession levels when it updates on its half-year results this month.

The figures, set to be released on September 16, will show that profits have returned to 2008 levels after they slumped 50% to just £20m last year.

Homewares and fashion sales, each of which contribute a third to the department store chain’s near £3bn turnover, have made the biggest impact on sales.

Homewares, which account for more than one third of the department store’s business and a higher proportion of profits, were up 17% in the six months to the end of July.

Fashion sales jumped 19% in the six month period, after a massive push by the chain to drive its fashion credentials with initiatives including a website for the offer and a revamped store fit for its womenswear offer. It will unveil a £10m revamp of its Oxford Street store’s womenswear floor on Wednesday.

John Lewis will revamp the fashion floors of 20 stores over the next three years to increase sales by 5% to 10%.

The department store is also investing in its first ever fashion catalogue for Autumn/Winter 2010, backed by an online and print ad campaign that will run throughout the autumn.

It will also revamp the beauty departments in its Southampton, Cribbs Causeway and Watford stores this autumn.

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