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Dunelm first quarter sales hit by warm weather

Homewares retailer Dunelm has seen a fall in like-for-like sales in its first quarter after unseasonably warm weather impacted footfall in its stores.

GENERAL MERCHANDISE

Dunelm first quarter sales hit by warm weather

Homewares retailer Dunelm has seen a fall in like-for-like sales in its first quarter after unseasonably warm weather impacted footfall in its stores.

In the 13 weeks to 1 October, like-for-like sales declined by 3.8% while total revenue fell by 1.8% to £198.7 million.

Although store footfall dropped in the period, the retailer continued to see good growth in its online business, including a 17.9% increase in home delivery sales.

Dunelm chief executive John Browett said: “As expected, the homewares market has fallen due to unusually warm weather and this has correspondingly impacted our store performance over the period given the reduced footfall to our out-of-town superstores. However, we have continued to focus on our value based customer proposition and are increasing our market share in homewares, whilst also seeing good growth in our online business.”

No new stores were opened in the period leaving Dunelm’s superstore footprint at 152 stores. The company is now legally committed to ten new stores of which nine are due to open in the current financial year and four before the end of the calendar year. The current year‘s 15 store refit programme has also begun with three stores due to be completed before the end of the calendar year.

Browett added: “We are looking forward to a stronger second quarter as we continue to invest in extra seasonal space, new till systems, store refits and new store openings. We should also benefit from weaker comparatives.”

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