DFS Furniture saw gross sales fall -6% YoY in the HY to 29th December 2019, albeit against strong comparatives. The retailer states that these results reflect "a challenging consumer environment, particularly in August and September".
However, order intake momentum has strengthened since, and the winter sale trading period has started satisfactorily, states DFS.
Based on the achivement of low single-digit revenue growth in H2 (assisted by the opening of a number of new showrooms during H1), DFS expects its full-year profit (before tax and brand amortisation) to be broadly in line with expectations.
"We are mindful of the broader political and economic uncertainty that still exists," states DFS. "However, we have made good progress on our strategic initiatives, driving showroom conversion and online growth. Furthermore, we have appropriate cost-saving actions in place to help mitigate continued market weakness.
"It is worth reiterating that the group has historically capitalised on adverse trading conditions to build our market position and we continue to believe that our cash generation and long-term growth prospects will drive attractive returns for our shareholders."