DFS reaches record market share
DFS has said it took a record market share of 38% for the 2023 financial year, benefitting from leading brands, scale, and its retail proposition.
The furniture retailer said its underlying profit before tax for the year ending 25 June was slightly above £30m, despite the market being “worse than expected”.
Market volumes were down by 15-20% during the financial year, as consumer demand took a hit from the wider macroeconomic environment, DFS said.
However, the retailer expects to outperform the market and continue to grow its market share into the 2024 financial year, delivering profit growth of a few million pounds.
DFS said trading at the beginning of the 2024 financial year has been consistent with its expectations, but added that the economic outlook appears “uncertain”. It expects underlying profit in 2024 to be slightly above 2023 levels.
Tim Stacey, chief executive of DFS, said: “We are in the strongest position we have ever been as a Group in terms of market share, and when the market recovers, we will be well placed to deliver our strategy and grow our earnings and cash flows towards our longer term plan”.