Dunelm sales jump following online order growth
Dunelm on Thursday reported a 6% jump in first quarter like-for-like sales as online revenue drove growth despite market softness and political uncertainty.
The home furnishings retailer reported total like for like sales of £255.6 in the three months to September 28, compared with £240.2m during the same period last year, after online sales leapt by 35% to £35.7m.
Total revenue, including the impact of a new superstore in Boston, Lincolnshire, increased by 8% to £262.6m following the launch of new TV and online adverts in Dunelm's Home of Homes campaign
The FTSE 250-listed company added that its gross margin improved by approximately 130 basis points as a result of the lower levels of clearance stock, though full year margins are anticipated to be consistent with last year as first quarter improvements face being offset by foreign exchange headwinds.
Dunelm said it plans to fully launch a new website in the second quarter, while a new store at Cribbs Causeway in Bristol is expected to open before Christmas.
Chief executive Nick Wilkinson said that despite recent softness in the homewares market and increased political uncertainty, he remained confident the retailer could continue to win market share and achieve full year expectations.