UK's Dunelm Group's sales surge 4.5% in H1 FY24

The company successfully expanded its market share in both the homewares and furniture sectors, achieving a combined gain of 50 basis points. This growth was supported by a 4.2 per cent increase in active customers and a rise in transaction frequency.

Digital sales continued to play a crucial role in Dunelm's success, contributing 36 per cent of total sales, an increase from 34 per cent in the first half of fiscal 2023, the company said in a press release.

Furthermore, Dunelm reported a significant improvement in profitability, with gross margins increasing by 160 basis points to 52.7 per cent. Profit before tax (PBT) also saw an uptick, growing by 4.8 per cent to reach £123 million, compared to £117 million in the prior-year period.

Nick Wilkinson, chief executive officer, said: “In the past six months we have kept our customers front of mind, ensuring our broad offer has value at its core whilst also expanding our ranges, introducing new styles, and improving the experience across our store and digital channels.

“This has been particularly important in a more difficult trading environment and has resulted in another strong sales performance combined with market share gains. Despite ongoing pressures on consumers, we are encouraged by the wide variety of new customers shopping with Dunelm, and existing shoppers also coming back more frequently. Alongside the positive sales performance we have delivered a very strong gross margin, which is testament to our tight operational control and the inherent strength of our business model.”

ALCHEMPro News Desk (DP)