DFS expects ‘strong’ first half profit growth
DFS has said its new financial year has started positively with an improved financial performance.
In a trading statement ahead of its annual general meeting later today, the furniture retailer said it has seen order intake growth across the first 19 weeks of the period, in line with expectations.
DFS said it was pleased with the progress it is making with its self-help cost initiatives, which have driven improvements in gross margin and helped to mitigate the impact of inflation.
This combined with the trading momentum means the retailer expects to deliver strong year-on-year profit growth in its first half.
Tim Stacey, DFS chief executive, said: “By continuing to execute our strategy we have made a strong start to the year.
“Despite the upholstery market remaining subdued, we have grown order intake across both our retail brands, ahead of the market, and progressed our gross margin and cost base initiatives leaving us in a good position to deliver strong first half year-on-year profit growth.
“Our customer proposition is in great shape and our medium-term outlook remains positive. Whilst the macroeconomic backdrop remains uncertain in the short term we will keep focusing on what we can control.”
