OKA posts 25% sales growth following financial restructuring
Premium interiors brand OKA has reported annual sales growth of 25% and tripled profits two years after a financial restructuring.
In the 12 months to the end of June, sales of furniture, lighting and homewares rose to £46.1 million from £36.8 million in the previous year.
Adjusted EBITDA increased from £1.7 million to £5.3 million, which the brand attributed to improved gross margin and a reduction in its cost base. In addition, OKA moved to an operating profit of £1.3 million from a loss of £4.8 million over the same period.
Subscribe to TRBThe brand said it benefited from what it described as a growing trend among British consumers to “buy less, buy better,” with homeowners making fewer but more considered purchases.
The results mark a turnaround for the business, which closed its US operations as part of a restructuring in 2024 to focus on its UK market. Since then, it has reduced its cost base and resumed expansion of its store estate and investment in its brand.
Mark Saunders, chief executive 0f OKA, said: “These results are an important milestone on our turnaround journey. We’ve taken some difficult decisions, re-focused on the UK market and rebuilt OKA around the things that make us unique – design, quality, craftsmanship and exceptional customer service. This is resonating with an increasingly intentional consumer who is building their home interior around key, investment pieces.
“We’re also making the range far more accessible through our investment in the bricks and mortar estate as well as our online business, which is introducing new and younger customers to the brand. There is great momentum in our trading performance and we’re confident our strategy will help us deliver sustained sales growth.”
OKA runs a flagship store in Chelsea alongside a range of standalone showrooms in affluent market towns and cities. It also operates an ecommerce business that now accounts for 50% of total sales.
The brand opened new concessions in Fenwick and John Lewis department stores in the year and expanded into new categories, including wallpaper. It is expecting to open further stores and concessions in the current financial year.
