18 July 2024, 08:04
By Furniture News Sept 14, 2022

Dunelm strong, but keen to "make every pound count"

Dunelm has reported record preliminary results for the 53 weeks to 2nd July 2022, demonstrating confidence in "a challenging market".

The retailer enjoyed sales growth of +16.2%, with total sales +41% higher than FY19.

It made a homewares market share gain of +140bps, and continued share gains in furniture, based on GlobalData UK findings.

Dunelm says its furniture categories have benefitted from improved availability and new additions to ranges such as home office, where the retailer increased the number of options by +60%. Seasonal ranges also performed well, with customers responding well to Dunelm's winter warm and garden furniture lines in particular.

The retailer's active customer base grew by +8.5% over the year, with increases across all demographics, while new ecommerce and furniture fulfilment operations provided additional capacity for growth and improved delivery options for customers, and gains were made in sustainability.

CEO Nick Wilkinson comments: "Our colleagues and our committed supplier partners are at the heart of our success. In another year of excellent performance, I am extremely grateful for their skill, commitment and adaptability in the face of new external challenges and during another busy period of progress across the business.

"We feel confident and well prepared to weather the current economic pressures - we emerged from an unprecedented global pandemic as a bigger, better business and we believe we have the tools in place to do that again. That said, the operating and economic environment is extremely challenging.

"In this environment, we have to make every pound count, both for ourselves through our tight operational grip and cost discipline, and for our customers, through our offer of outstanding value at all price points.

"Dunelm, at its heart, offers customers great choice and value. Now is not the time for us to shy away from that, but for us to fully embrace it – whether it's our Winter Warm collection or our Student Essentials range, we think Dunelm's unique and market-leading offer is more relevant than ever before."

In the first 10 weeks of the new FY, sales have remained "robust" says Dunelm, which is on track to deliver FY23 results in line with analyst expectations – a PBT of £178m, with a range of £130m to £193m.

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