Dunelm confident to “accelerate” new openings
Dunelm has said the strong performance of its newest stores has given it confidence to “accelerate openings” over the next two years.
The home furnishings retailer opened three new stores and relocated one during the last financial year, and said it had seen “strong payback” from the new openings.
Dunelm said it had “never been more confident in [its] plans to seize opportunities in the short, medium and long term”.
This comes as the retailer releases its preliminary results for the year to 1 July 2023, during which it saw a year-on-year increase in total sales of 5.5%, up to a record £1.64bn.
However, Dunelm’s pre-tax profit declined by 7.8%, down from £209m in 2022 to £192.7m in 2023. The retailer said this reflected a tight control of margin amidst inflation in its operating costs and its ongoing commitment to investment for the future.
The retailer said it was pleased with trading early in the new financial year. Despite consumer behaviour remaining “unpredictable”, Dunelm said its value proposition is resonating well and it expects to see growth in sales and pre-tax profit during the 2024 financial year, driven by volume.
Nick Wilkinson, chief executive officer, said: “As we manage the ongoing challenges, it is crucial that we do not lose sight of our longer-term ambitions. We are committed to raising the bar on value and joy for our customers and continuing to invest where we see good returns, so that we can seize the various opportunities ahead.
“We are excited about our future growth opportunity and more confident than ever that our commitment to value and tireless focus on improving the experience for our home-loving customers will leave us well placed to deliver sustainable growth in the future.”