DJs to offer more private label products David Jones will expand its private label range to include everything from casual wear to kitchenware as it attempts to cash in on its upmarket retail reputation. Firing its latest salvo in the battle to lift profits, David Jones is tripling its private label range so it makes up 10 per cent of stock in its stores. Chief executive Paul Zahra says the private label products will include basic items across its homewares and fashion departments. "It certainly won't have a designer element to it," he said. It's about everyday needs....pots, pans, dinner sets those sorts of things. In apparel as well. It's more classic styling, t-shirts, linen shirts, those sorts of basic wardrobe essentials. Mr Zahra's comments came as the department store unveiled a 14 per cent drop in first half profit to $73.5 million and flat sales of $1.004 million. While the profit result was better than many analysts had expected, Mr Zahra shied away from making financial forecasts for the second half. He said he was cautious about consumer sentiment while people continued to save high proportions of their pay packets. Shareholders welcomed the profit result, pushing David Jones shares up 12 cents to a 16-month high of $3.08. IG Markets analyst Evan Lucas said the retailer's turnaround strategy was appearing to reap benefits but the cost of it making changes to its business would still be felt into at least the next half. He also noted David Jones did not perform as well as rival Myer, which increased its first half profit by 0.7 per cent, because it started its turnaround plan later. "Myer got the jump first," he said. Meanwhile, David Jones continues to negotiate with major international brands to ensure the price tags in its stores match those online. Mr Zahra said half of those brands had already started to lower their prices, allowing the department store to pass on the savings to shoppers. The retailer is also reviewing its stores, in particular six in less profitable locations with leases that are due to expire within five years. It also plans to open new stores offering free wireless internet for customers, more staff and newer cash registers to enable faster service.