Dunelm is the UK's leading specialist out of town homewares retailer, operating in the 12bn homewares market. The Group currently operates 161 stores, branded Dunelm Mill, of which 157 are out-of-town superstores and 4 are high street shops. The majority of the stores are located in the Midlands or north-west of England. Dunelm employs over 5,000 full and part time staff, the vast majority of whom work in the stores.

Dunelm was founded in 1979 as a market stall business, selling ready-made curtains. The first shop was opened in Leicester in 1984 and over the following years the business developed into a successful chain of high street shops in the Midlands specialising in soft furnishings. The first Dunelm superstore was opened in 1991, leading to the Group's expansion into the broader homewares market.

The superstores provide an average of 28,000 sq ft of selling space and offer an extensive range of around 20,000 products across a broad spectrum of categories, including bedding, curtains, gifts and seasonal items, cushions, bathroom products, kitchenware, quilts, pillows and rugs. Dunelm also specialises in offering a wide range of fabrics, made to measure curtains and a frequently changing series of special buys. The directors are passionate about ensuring that all ranges live up to Dunelm's philosophy of offering customers "Simply Value for Money".

Dunelm also operates an on-line store, to be found at www.dunelm-mill.com.

Dunelm listed on the London Stock Exchange in October 2006 (DNLM.L) and has a current market capitalisation of approximately 750 million

Excelent trading update this morning.

03 Oct 2014 Dunelm Group PLC DNLM Cantor Fitzgerald Buy 828.25 794.00 900.00 900.00 Reiterates

Strong trading drives Dunelm sales in Q3

Fri 03 October 2014 08:55 | A A A
No recommendation
No news or research item is a personal recommendation to deal. Hargreaves Lansdown may not share ShareCast's (powered by Digital Look) views.

Strong trading saw third quarter sales at homewares retailer Dunelm rise to £180.6m, a 17% year-on-year gain.

Like-for-like growth was 8.9% compared with a 5.3% decline in the corresponding period 12 months ago, the company said, adding that gross margin had continued to rise, with an estimated 40 basis points rise compared with the equivalent quarter last year.

"Our sales performance has been strong in the first quarter, driven partly by soft comparatives from last year but also by the strength of the Dunelm offer and an increasing awareness of that offer across the UK," group chief executive Will Adderley said.

"As we look forward, our focus is very much on driving sales. We intend to capitalise on the significant investments we have made, and continue to make, across our business to underpin long term growth."

Dunelm shares rose 5.20% to 835.30p at 08:49 on Friday.

DNML Dunelm Group: Oriel upgrades from add to buy with a target price of 950p.

Ex-divi 3rd Mar 2015 (70p)

Dunelm's sales

StockMarketWire.com

Homewares retailer Dunelm's sales rose by 10.3% to GBP�448.1m in the six months to 2 January. Total like-for-like sales were up 4.6% at GBP404.9m.

Gross margins rose to 50.7% from 50.4% and pre-tax profiges increased by 10,7% to GBP75.5m.

Business Highlights � Continued focus on three part growth strategy - growing like for like sales, rolling out new stores, and growing our home delivery channel - with eight core projects now in place to deliver this

� Solid progress in LFL store sales, underpinned by strong performance from curtains and bedding, particularly our new Kids range

� On-going store portfolio expansion, with future focus now increasingly on London

� Further strong growth in home delivery of 24.4% with growth starting to accelerate following new web platform launch last year

Dividends

� Interim dividend increased by 9.1% to 6.0p per share (FY15: 5.5p per share)

� Special distribution of 31.5p per share (totalling �63.9m), in line with capital structure policy and reflecting continued strong cash generation

Chief executive John Browett said: "It is a really exciting time to be at Dunelm - a business built on a strong foundation of exciting product and design, unrivalled knowledge of the homewares market, a low-cost store network, great people and investment in systems. "Our focus remains on growing the business for the longer term. After making good progress so far, we are continuing to work towards our three part growth strategy and are now focused on eight core projects that will enable us to achieve this. This will allow us to improve our business substantially for our customers and, as we increase both our store network around London and our online presence, to develop Dunelm into a truly national homewares brand. "After a solid performance in the first half, we had a strong sale after Christmas and we expect further good progress in the remainder of the year."







Story provided by StockMarketWire.com

Full year results this week. Any thoughts?

Final Results were 14 September 2016 for 52 weeks to 2 July 16

 Looks like a Q1 interim management statement on the 6 Oct.

Chris,
They look to be doing pretty good trading wise, although the sp looks to have dropped off some.
 

Oh just found from the Hargreaves Landsdown site 30 Sept 16 - Dunelm release a first quarter trading update, which may well confirm a negative impact on sales from recent weather.

Never traded them dc, bit confused re trading updates either Tues or Thurs can't find Calander on their website. Could go either way on watch list.

HSBC like them. I would think the brexit issue would be more of a concern then the weather ? Chris, a few others have downgraded.

Looks like the trading update on Thurs. Info from their own site.

Exactly dc, let's see how it pans out :0)

Dunelm revenues fall
StockMarketWire.com
Homewares retailer Dunelm's first quarter revenues fell by 1.8% to £198.7m. Total like-for-like growth (combining LFL stores and home delivery) decreased by 3.8%.

Unusually warm weather in the 13 weeks to 1 October had a dampening effect on store footfall.

But the group said it continued to see good growth in the online business, including a 17.9% increase in home delivery sales. Overall, Dunelm believes it is continuing to outperform the homewares market as a whole.

Chief executive John Browett said: "As expected, the homewares market has fallen due to unusually warm weather and this has correspondingly impacted our store performance over the period given the reduced footfall to our out-of-town superstores.

"However, we have continued to focus on our value based customer proposition and are increasing our market share in homewares, whilst also seeing good growth in our online business.

"We are looking forward to a stronger second quarter as we continue to invest in extra seasonal space, new till systems, store refits and new store openings. We should also benefit from weaker comparatives.

"We continue to focus on our key initiatives whilst ensuring we maintain our unique offer of tremendous value for money, combined with an unrivalled range and great service."

At 8:36am: (LON:DNLM) Dunelm Group PLC share price was -40.25p at 817.25p



Story provided by StockMarketWire.com

6 Oct
Canaccord...
920.00
Hold

6 Oct
Cantor...
950.00
Buy

6 Oct
Peel Hunt
1,000.00
Buy

This one could be good for a quick punt on the spreads this week. Been in a range for over three months between 590p and 640p. Any good news could propel sp back to 640p.

LATEST BROKER VIEWS

Date Broker New target Recomm.
30 Jun HSBC 640.00 Hold
17 May HSBC 640.00 Hold
13 Apr Deutsche Bank 730.00 Hold
12 Apr Peel Hunt 620.00 Hold
12 Apr Cantor... 850.00 Buy
31 Mar JP Morgan... 760.00 Overweight
15 Mar Citigroup 640.00 Neutral
1 Mar Peel Hunt 750.00 Hold
13 Feb Citigroup 670.00 Neutral
9 Feb Jefferies... 650.00 Underperform

Dunelm like-for-like sales up

StockMarketWire.com

Dunelm Group's total revenue for the fourth quarter rose by 17.7% to £240.0m.

Total revenue, excluding Worldstores, rose by 6.7% to £217.4m and total like-for-like growth (combining LFL stores and home selivery) grew by 3.8%.

Chief executive John Browett said: "The Worldstores acquisition will provide a massive leap forward to our online and store offer that we think our customers will love.

"The integration is going well and we are confident in the benefits it will generate. With around 20% of our sales now generated online, we believe that we have arrived as a significant e-commerce player in homewares.

"We've seen a good quarter of trade with positive like-for-like sales growth and a very strong online performance. Encouragingly, we continue to take market share.

"We continue to invest in the business for the longer term to improve our customer proposition and infrastructure and, despite an uncertain consumer environment, we go into the next financial year with some good momentum."

Intraday SP reached 636.25p

Jefferies - "Dunelm bought twice as much seasonal stock (e.g. electric fans, garden and BBQ related items) which led to seasonal sales + 70% and helped to offset the negative impact of a late Easter"

Ian Pierce - Fool.com

Domestic retailers of all stripes have fallen out of favour with many investors in recent months, but for contrarian investors this fear has created what appears to me to be a slew of bargains accross the FTSE 250. One of the glaring is big box home furnishings retailor Dunelm, whose shares trade at just 13.5 times forward earnings while offering a dividend yield that was over 9% last year.

And while Dunelm has had its rough patches in recent quarters, a 2.2% year-on-year decline in in like-for-like sales in Q3 caused a big sell-off, the company's dividend is well covered by earnings, debt levels are low and the company has surprisingly solid growth prospects.

On the dividend front, the company paid out 25.1p in ordinary dividends last year and threw in an additional 31.5p special payout at year-end thanks to surplus cash balances. We won't know until early September what level of special distribution will be made this year but the fact that pre-exceptional profits this year are expected to be around £110m, or £18m less than last year, does suggest a smaller payout. That said, last year's ordinary dividend alone represents a solid 4% yield, so there's little reason to panic if the special dividend is slightly lower.

And unlike many large retailers, Dunelm isn't swimming in debt. Management targets a net debt level between 0.25 and 0.75 times EBITDA, which provides plenty of freedom to spend the majority of free cash flow on store expansion and shareholder returns without threatening the health of the business.

Store expansion is one way the company is growing, but management isn't solely relying on new stores to boost growth. In fact, a renewed focus on online sales and sprucing-up stores led to LFL sales rising 3.8% in Q4. This along with profitability and free cash flow metrics, becomes more impressive once the newly -aquired Worldstores brand that management is revitalising is stripped out.

All told, with it's shares cheap, good growth prospects and a huge dividend yield on offer Dunelm is one income share I'd keep my eye on.