Dunelm Group plc
Preliminary Results for the 53 weeks ended 2 July 2022
Record results, confident in a challenging environment
Dunelm Group plc (“Dunelm” or “the Group”), the UK's leading homewares retailer, today announces its preliminary results for the 53 weeks to 2 July 2022.
|
|
FY22 (52 weeks)6 |
FY21 (52 weeks) |
YoY (52w vs 52w) |
FY22 (53 weeks) |
YoY |
|
Total sales |
£1,553.1m |
£1,336.2m |
+16.2% |
£1,581.4m |
+18.4% |
|
Gross margin |
51.2% |
51.6% |
-40bps |
51.2% |
-40bps |
|
Operating costs:sales ratio |
37.5% |
39.1% |
-160bps |
37.4% |
-170bps |
|
Profit before tax (PBT) |
£209.0m |
£157.8m |
+32.4% |
£212.8m |
+34.9% |
|
Diluted earnings per share |
82.1p |
62.9p |
+30.5% |
83.6p |
+32.9% |
|
|
|
|
|
|
|
|
Digital % total sales1 |
35% |
46% |
-11ppts |
35% |
-11ppts |
|
|
FY22 (53 weeks) |
FY21 (52 weeks) |
YoY |
|
Free cash flow2 |
£153.0m |
£108.5m |
+£44.5m |
|
Net (debt)/cash3 |
(£23.8m) |
£128.6m |
-£152.4m |
|
|
|
|
|
|
Ordinary dividend per share4 |
40p |
35p |
+14.3% |
|
Special dividend per share5 |
37p |
65p |
n/a |
Highlights
- Strong sales growth of 16.2%6 with total sales 41% higher than FY19
- Homewares market share gain of +140bps and continued share gains in furniture7
- Active customers grew by 8.5%8 over the year, with increases across all demographics
- New ecommerce and furniture fulfilment operations opened in the year, giving capacity for growth and improved delivery options for customers
- Scope 1 carbon and plastic packaging reduction targets met and textiles take-back service introduced in stores nationwide
- Healthy gross margin of 51.2%6 including impact of the extra Summer Sale in the year
- PBT growth of 32.4%6, with a strong profit margin reflecting cost leverage and operational grip
- Free cash flow of £153.0m, representing 70% conversion of operating profit
- Final dividend of 26p (FY21: 23p) taking the full year ordinary dividend to 40p, an increase of 14.3%
Outlook and current trading
- Sales have remained robust in the first ten weeks of the financial year
- Proven strength of the Dunelm business model gives us confidence, despite an extremely challenging environment
- Our primary focus is to continue offering outstanding value to all our customers
- Expect to deliver c.50% gross margin for the full year and manage costs through efficiency improvements and operational grip
- On track to deliver FY23 results in line with analysts' expectations9
Nick Wilkinson, Chief Executive Officer, commented:
“Our colleagues and our committed supplier partners are at the heart of our success. In another year of excellent performance, I am extremely grateful for their skill, commitment and adaptability in the face of new external challenges and during another busy period of progress acrossthe business.
“We feel confident and well prepared to weather the current economic pressures – we emerged from an unprecedented global pandemic as a bigger, better business and we believe we have the tools in place to do that again. That said, the operating and economic environment is extremely challenging.
“In this environment, we have to make every pound count, both for ourselves through our tight operational grip and cost discipline, and for our customers, through our offer of outstanding value at all price points.
“Dunelm, at its heart, offers customers great choice and value. Now is not the time for us to shy away from that, but for us to fully embrace it; whether it's our Winter Warm collection or our Student Essentials range, we think Dunelm's unique and market-leading offer is more relevant than ever before.”