The group, owned by private equity firm Bridgepoint, saw like for like store sales rise 7.1% over the six weeks to December 24, while online revenue rocketed 28%.
Hobbycraft credited the rise to a series of workshops across its near 100 outlets, which saw 21,000 shoppers attend to work on projects such as fillable baubles and personalised advent calendars.
Figures showed an 119% increase in sales of “Christmas Eve Boxes” during the week they were demonstrated in stores.
Katherine Paterson, customer director at Hobbycraft, said: “A personalised present means so much more and Christmas is clearly the perfect time of year to create something extra special for loved ones.
“Social media channels and influencers are helping to drive this trend and our results this Christmas show that crafting a thoughtful gift or decoration is a more enriching experience in these challenging times.”
The stellar figures come despite the soaring popularity of technology and gadget gifts such as computer games, phones and iPads.
Last year Hobbycraft booked a 6% increase in sales to £168.5 million - its eighth year in a row of growth - as earnings rose over 16% to £8.7 million.