Dunelm chief executive decides to step aside

Will Adderley will remain on the board of Dunelm to work on specific aspects of the business after his 15-year spell as chief executive helped to grow the company's annual revenues to almost 500m.

The move, which will take place in February, was announced yesterday as Dunelm reported a rise of 46 per cent in pre-tax profits to 76.8m in the year to July 3. Mr Adderley said the out-of-town chain continued to grow its share of the homewares market after it opened more stores and benefited from its position as a value-for-money retailer.

He will hand over as chief executive to Nick Wharton, who is currently finance director of Halfords and has been a Dunelm director since August 2009.

Mr Adderley, who owns 35 per cent of the company, said his family remained "totally committed, both emotionally and financially" to Dunelm for the long term. His parents Bill and Jean still have a 24 per cent holding.

From a Leicester curtain stall in 1979, the family has grown the business into the third-largest firm in the 12bn UK homewares market with 106 stores.

It joined the London stock market in 2006 and reaped a major windfall for the Adderleys after they sold a 31 per cent stake in the 340m flotation. The company's market value is currently just under 800m.

Mr Adderley said the new role as executive deputy chairman would allow him to spend more time on the areas "where I believe that I can add the most value".

He added that recent store openings were trading well and that Dunelm was committed to opening nine more units in the current financial year as it looks to build a UK-wide portfolio of 200 outlets.

It has also extended the range of products sold under the Dorma brand to include bathroom, gift and tableware lines.