17th Jul 2025 12:16
(Alliance News) - Dunelm PLC on Thursday reported a rise in sales in financial 2025 and guided for profit in line with consensus, the UK retail expands in Ireland.
In the 12 months that ended June 28, the Leicester, England-based homewares and soft furnishings seller posted total sales of GBP1.77 billion, up 3.8% from GBP1.71 billion in financial 2024. Digital sales comprised about 40% of the total, up from 37% the year prior.
Dunelm expects full-year pretax profit in line with market consensus, which it placed around GBP210 million, within a range of GBP207 million to GBP215 million. This represents a 2.2% rise on the previous year, when pretax profit amounted to GBP205.4 million.
Pretax profit margin, which was 12.0% in financial 2024, is expected to remain "broadly stable" on-year. Gross profit margin is estimated to be ahead of guidance at 52.4%, up from 51.8% the previous year.
During the final quarter alone, sales rose 4.0% to GBP415 million from GBP399 million on-year. Digital sales participation in the fourth quarter was at 42%, up 2 percentage points from the year prior.
Despite the sales increase, Dunelm said it was yet to see signs of consumer recovery as confidence remained "muted".
Chief Executive Nick Wilkinson pointed out Dunelm's acquisition of the Designers Guild brand archive and the opening of its first inner London location, as well as the firm's expansion into Ireland.
The firm in November acquired soft furnishings company Homefocus Group Ltd for an undisclosed amount, adding 13 stores to its portfolio. At the time, Dunelm said the deal would "not be material" to financial results, but estimated the Irish market to be worth GBP1 billion.
Wilkinson added on Thursday: "We've had a good final quarter with continued growth and further strategic progress. Customers responded well to offers across our categories in our Summer Sale, and we saw strong demand for our Summer Living ranges, particularly as customers focused on their outdoor spaces during the warmer weather."
This follows an announcement earlier in July that Dunelm has recruited Clodagh Moriarty as its new chief executive. Wilkinson had informed the board in February of his intention to retire after seven years in post.
Moriarity is currently chief retail & technology officer at London-based food retailer J Sainsbury PLC. She takes the reins at Dunelm on October 1.
Dunelm shares were 3.9% higher at 1,185.00 pence on Thursday morning in London.
By Holly Munks, Alliance News reporter
Comments and questions to [email protected]
Copyright 2025 Alliance News Ltd. All Rights Reserved.
Related Shares:
Dunelm