Bensons for Beds has reported a return to profitability over the past year in the midst of a challenging economic environment and suppressed consumer sentiment.
The results, which were announced this week in Bensons’ annual report, showed that turnover for the 53 weeks to 30th September grew by +7.5% to £257.5m (from £239.4m in 2022), along with reported EBITDA profit of just over £1.5m (from a loss of £15.4m in 2022).
The increase follows the implementation of the brand’s recovery plan set out in 2022, which has also seen the stabilisation of the business.
In Bensons strategic report, the retailer states: “There is an old retail saying to the effect that you should focus on the KPIs that you can control. Faced with lacklustre market demand, the Bensons team have done just that – focusing on sales conversion and ATV in order to make the most of what demand there was, and on delivering a first-class customer experience both during and after sales were made and products delivered.
“That focus proved extremely effective, with all these controllable KPIs moving in the right direction. The ultimate measure of that is in the financial results which follow these pages, which show strong revenue growth and a return to profitability despite the challenging market.”
During the last 12 months, Bensons has made strong progress, growing market share in its core categories, while continuing to invest in omnichannel and digital capability, yielding positive results, with digital LFL at +22%.
Bensons increased store conversion with 14 new store openings across the year, including a re-entry into markets such as Peterborough and Speke, and new catchments including Edinburgh Craigleith and Edrington.
It also improved NPS scores by +15%, following significant investment in its customer service and delivery experience.
Finally, since the eveSleep.co.uk brand was acquired in October 2022, the brand has shown strong growth and contributed positive EBITDA.
Bensons also bolstered its leadership team with several key hires, including the appointment of a new chief people officer, Linda Sleath.
CEO Nick Collard says: “Five months into the new financial year and in an external market which remains challenging, we continue to make progress, and our performance remains in line with our expectations. For the remaining months of the financial year we remain focused on those factors in our control – store number growth, investment in colleague training, product innovation and digital capability.”
