DFS posts strong first half trading
Sofa retailer DFS has posted a 17.3% increase in group revenue to £572.6 million in the first half of its financial year.
In the six months to 27 December, revenue excluding Sofa Workshop climbed by 18.7% to £567.5 million as the company benefited from pent-up demand following the first Covid-19 lockdown and a shift in consumer spending towards the home. Online revenue was particularly strong, rising by 66.2% year-on-year.
The growth meant that DFS posted a first half underlying pre-tax profit of £76.5 million compared to £16.6 million in the same period in the previous year. On a reported basis, pre-tax profit increased by £56.2 million to £72.1 million.
Tim Stacey, DFS group chief executive, said: “Our business has proven to be resilient throughout the period despite showroom closures and a significant amount of external disruption in our supply chains. The investments we’ve made in our digital channels have generated exceptional revenue growth.
“Consequently our order bank remains well above normal levels and, subject to showrooms reopening by 12 April 2020, our central planning scenario is for an expected full year profit before tax outcome of approximately £105 million, with further benefits to be realised in next year’s financial results.”
