Dunelm revenues rise due to online sales

Dunelm has seen its revenues rise 1.6% to £490m for the 13 weeks ended 28 December, and 2.4% to £894m for the first half overall.

The retailer stated that this was driven by a 3% uplift in online sales across both periods.

It also stated that ecommerce represented 39% of total sales over the first half.

Dunelm noted that its furniture categories did particularly well during the period, highlighting “sofa collections through to smaller items such as dining chairs and coffee tables” as strong performers.

In the period, Dunelm improved its online customer experience, acquired its first inner London store and 13 small stores acquired in Ireland.

The retailer said it now expects its full-year gross margin to be in the upper half of its current guidance, standing between 51% and 52%.

Dunelm also stated that it aims to open five new superstores during the second half of this financial year.

CEO Nick Wilkinson said: “We’re pleased with our performance in the first half; we are growing sales and volume, with customers again responding well to the value and choice we offer across our ranges. At the same time, we’ve made significant strategic progress across multiple initiatives which are helping us to improve our attractive, specialist offer and continue to gain market share.

“We have taken our first steps outside the UK with the acquisition of 13 stores in Ireland, opened our first inner London store in Westfield, and made further improvements to our online customer experience which is contributing to continued strong digital growth.”