DFS keeps sales on track
DFS, the Yorkshire sofa retailer, has defied the retail gloom by maintaining its sales for the nine months to end April.
The company said its financial performance was "firmly on track" with sales excluding VAT down just £3.4 million to £486 million for the period. It also reported an uplift in adjusted EBITDA of 3.1% to £56.2 million and a rise in cash holdings from £7 million to £49.1 million since the start of the year.
DFS said it was continuing to build its portfolio of stores with eight new leaseholds acquired this year. The new stores will open in the next financial year and will form part of a measured store roll-out programme that will see 20 new stores opening by July 2013.
Chief executive Ian Filby said: “We are pleased to report that our financial performance remains firmly on track, despite the challenging trading environment.
"Although trading conditions remain exceptionally demanding for all UK retailers, we were fully prepared for that outcome in our plans for the year, and our good performance to date reflects our tight focus on the areas within management’s control.
"We have successfully managed our margin and costs, and maximised cash generation, while building a strong platform for our new store rollout programme. We have also continued to build on our well-established brand leadership and driven our market share by continuing to offer an outstanding proposition and excellent service to our customers, and by further developing our growing online proposition. These priorities will remain the focus in the final quarter of the year."
DFS operates 80 stores throughout the UK and has three factories.
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