Dunelm Reports Softer March Trading, Profits to Hit Lower End of Targets
UK homeware retailer Dunelm has reported a slowdown in sales growth for March, warning that its annual profits are expected to land at the lower end of its forecasted targets. The company attributed this trend to an uncertain economic backdrop and a period of broad-based softening in trade during the month, despite a strong start to the quarter driven by winter sales and spring ranges. Total sales for the latest quarter rose by 2.1% year-on-year to £472 million, bringing year-to-date sales up by 3.1% to £1.4 billion. Consequently, Dunelm’s shares fell in early trading following the announcement. Chief Executive Clo Moriarty acknowledged the challenging external environment but emphasized the company's focus on operational efficiency and long-term growth initiatives, including a robust store opening pipeline and positive early results from its newly launched mobile app. Additionally, the retailer noted that ongoing instability in the Middle East is expected to have a minor direct cost impact on the current financial year, although overall cost plans remain on track.
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Dunelm Reports Softer March Trading, Profits to Hit Lower End of Targets
UK homeware retailer Dunelm has reported a slowdown in sales growth for March, warning that its annual profits are expected to land at the lower end of its forecasted targets. The company attributed this trend to an uncertain economic backdrop and a period of broad-based softening in trade during the month, despite a strong start to the quarter driven by winter sales and spring ranges. Total sales for the latest quarter rose by 2.1% year-on-year to £472 million, bringing year-to-date sales up by 3.1% to £1.4 billion. Consequently, Dunelm’s shares fell in early trading following the announcement. Chief Executive Clo Moriarty acknowledged the challenging external environment but emphasized the company's focus on operational efficiency and long-term growth initiatives, including a robust store opening pipeline and positive early results from its newly launched mobile app. Additionally, the retailer noted that ongoing instability in the Middle East is expected to have a minor direct cost impact on the current financial year, although overall cost plans remain on track.
The Standard