The Cotswold Company more than doubled its profits in its latest full year results and pulled in record sales growth.
The furniture company, which outshined the market with a 22% sales boost over Christmas, saw EBITDA more than double to £9.2m for the 52 weeks to 28 February, driven by sales growth, cost-efficient marketing and customer acquisition. Sales were up 19% to £100m.
The business said its sales growth marked a significant outperformance of its home and furniture category, which was driven by store expansion, investments in operations and marketing, and a wider shift from shoppers towards “made-to-last” furniture purchases.
Online revenues rose 14% over the year, with the arm now comprising 78% of its total revenues.
Additionally, the brand experienced a 20% rise in active customers over the period, which it said demonstrated the relevance of its high-quality, made-to-last customer proposition and effective marketing investment.
The results come after The Cotswold Company launched two new stores over the period in Stamford and Marlow, boosting its showroom revenues by 45%.
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CEO Ralph Tucker said: “This is a milestone year for all at The Cotswold Company. I want to thank our teams for their hard work and commitment, which have helped us to significantly outperform the market, deliver strong profitable growth, and complete several important strategic milestones.”
“More and more customers are moving from “throwaway” furniture to high-quality, made-to-last products that can be passed down for generations and add quality design and character to a home.
“Through the strength of our brand, the broad appeal of new products that champion our commitment to quality craftsmanship, and the success of our national marketing initiatives, we continue to both benefit from and drive this change.”
The executive noted that the company had “strategically pivoted to a truly omnichannel model” this year “with the launch of partnerships with John Lewis and Next, putting it in a “strong position to deliver further significant profitable growth”.
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