Dunelm bucks furniture trend posting growth as its CFO departs

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Dunelm

Dunelm has posted a “creditable performance” in its interim results as its chief financial officer quits and it dumps its Achica business.

In its interim report for the 26 weeks to December 30, the furniture retailer saw like-for-like sales rise six per cent, including in-store sales growth of 3.5 per cent.

This was largely driven by a significant boost in online sales, seeing 36.8 per cent like-for-like growth and now representing 18.5 per cent of total revenues for the retailer.

EBITDA dropped two per cent year-on-year to £79.1 million before exceptional terms, but saw a seven per cent rise to £76.4 million after they had been taken into account.

These exceptional terms include the lower margins of Worldstores, which Dunelm acquired in late 2016.

It also disposed of its Achica brand to BrandAlley for a cash consideration of £600,000 last week, stating that the “brand does not fit with the core Dunelm proposition”.

Meanwhile, Dunelm’s chief financial officer Keith Down announced his departure from the business.

In his place David Stead, his original predecessor, will act as interim CFO while a permanent replacement is found.

“We thank Keith for his valuable contribution to Dunelm and wish him well in his next role,” chairman Andy Harrison said.    

“We are working with Keith for a smooth transition to his successor, who will work alongside Nick Wilkinson, our new CEO, to ensure we maintain our momentum.”

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