Dunelm: Home furnishings chain sees jump in sales as it opens 200th store

Home furnishings retailer Dunelm has announced that it saw a jump in sales as the firm opened its 200th store.

Dunelm reported sales growth of 6.3 per cent to £462m in the 13-week period ended 29 March – compared to the same period the year prior – with shares in the business lifting 6.4 per cent in early trading as a result.

The firm also said that pre-tax profits for its fiscal year are expected to be “in line with consensus”, with the company expected to post between £204m and £214m.

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Within the 13 weeks to the end of March, the Leicester-based chain also opened its 200th store, with a new location in Wales.

Dunelm has announced that it saw a jump in sales as the firm opened its 200th store. Photo shows: New Dunelm store opening at Boulevard Retail Park at Peterboroughplaceholder image
Dunelm has announced that it saw a jump in sales as the firm opened its 200th store. Photo shows: New Dunelm store opening at Boulevard Retail Park at Peterborough

Nick Wilkinson, chief executive officer of Dunelm, said: "We've had a good third quarter, with strong growth and further strategic progress.

"The Dunelm brand continues to attract a broad range of customers, offering outstanding value and quality, and we're really pleased with how our new ranges are being received.

"March saw the opening of Dunelm's 200th store in Merthyr Tydfil, an exciting milestone, and we continue to see new opportunities, filling 'white space' in our physical estate through a variety of store formats.”

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Mr Wilkinson said the company’s growth had come despite a backdrop of “increased uncertainty”.

He said: “We remain very mindful of the wider backdrop and the impact of increased uncertainty on consumer sentiment, but maintain our focus on strengthening Dunelm's position as The Home of Homes."

Despite the improved sales growth, Dunelm said it was “too early” to say whether it is an improved trend which will continue in the longer term.

The firm added that it had “continued to grow” its core textile-focussed categories, including pillows and rugs.

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Furniture products “performed particularly well”, and those with bolder designs proved popular with customers, the company said.

Digital participation for the firm was up four percentage points year-on-year to 41 per cent. The company said its Click & Collect sales had also grown “significantly” during the quarter.

Dunelm said its sales and volume growth was “broad-based” across its categories, adding that it saw a good start to its new Spring / Summer ranges, as well as a successful Winter Sale at the beginning of the period.

Mr Wilkinson added: "Our customers are now enjoying getting their homes and gardens ready for summer and we're focused on being as relevant as possible for the warmer months ahead.

“At the same time, we're improving customers' digital experience, including through Click & Collect, which has continued to gain momentum.”

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