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DFS Furniture PLC on Thursday said it expects an annual underlying profit boost of around £15 million for its latest year, with single-digit revenue growth. However, DFS shares were down 4.9% at 135.06 pence on Thursday afternoon in London. The Doncaster, England-based furniture retailer, for the 52 weeks ended June 28, expects to report approximately £45 million in underlying profit before tax and brand amortisation. This is within its previously upgraded guidance range of £43 million to £50 million, and up from £30.2 million in financial 2025, DFS said. The firm said this performance is underpinned by 2.7% revenue growth, gross margin expansion and continued cost discipline. Its net debt totalled around £69 million as of June 28, down from £107 million one year prior. DFS also reported a 4.4% year-on-year fall in order intake for the second half of the year, flipped from 2.3% growth in the first half. Order intake for the full year decreased 1.0%, ‘broadly in line with the market.’ The company said the second half saw ‘a notable softening in market demand,’ which it attributed to ‘a decline in consumer confidence and housing transactions, in part related to the Iran war.’ DFS will announce its full-year results on September 28. ‘Through the year we have made important strategic progress across the business while also delivering a strong financial performance,’ commented Chief Executive Tim Stacey. ‘We have navigated the complex and changing market environment focusing on our customer propositions combined with disciplined cost management ensuring that we delivered our upgraded profit expectations despite the market softening in the second half. ’Importantly, a strong profit performance and capital rigour has enabled us to further reduce our net bank debt and improve our leverage position, providing the group with a solid financial foundation to navigate any further market volatility.‘ He continued: ’We remain firmly committed to our medium term ambitions of £1.4bn revenue and an 8% PBT margin, and I am confident that our strategy will drive strong shareholder returns as market conditions improve.‘ Copyright 2026 Alliance News Ltd. All Rights Reserved.
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