Dunelm has reported a "robust" sales performance in Q1 (ended 28th September 2024), with total sales increasing by +3.5% to £403m, against a strong prior year comparative, driven by increased volumes.
Digital sales growth was strong, up 2ppts as a proportion of total sales to 37%, as the group continues to improve its online offer. It also increased gross margin by 20bps YoY.
Good progress was also made against the retailer's strategic priorities, with its London store opening in Westfield London in H1, and AI-driven online search now live.
CEO Nick Wilkinson comments: “We have delivered robust sales growth over the first quarter, offering a wide range of products for the home, at outstanding value, and this continues to resonate with new and existing customers. As ever, relevance is central to our offer and we were delighted by the success of our largest student campaign yet, which was well received by customers seeking out bright and stylish designs.
“We continue to make good progress against our strategic plans. Later this year, we will bring our specialist proposition to inner London for the first time, opening at Westfield London. We’re excited about this and our wider opening programme, with 5-10 new superstores planned per year over the medium term.
“Whilst we are yet to see meaningful change in underlying consumer sentiment in our markets, we remain focused on our plans. We believe we have continued to gain market share and, with continued strategic progress, remain confident in our ability to reach our next market share milestone of 10% in the medium term.”
