Family-owned home furnishing chain Dunelm Mill has seen turnover rise by an impressive 18.2%, but the second-generation CEO warned that this year will be much tougher as austerity measures bite.
Announcing sales of £492.8 million for the year ending 3 July, CEO Will Adderley said in a trading statement that the company remained "as determined as ever to keep offering 'simply value for money' to more and more customers." Further, he sees opportunities "to improve our offer and to extend our footprint further in the UK."
However, despite the positive results, Adderley remains uncertain about the future. "We do not anticipate that it will be possible to maintain last year's rate of like for like sales growth in the coming 12 months as consumer spending has to absorb tax increases, public sector cuts and, potentially, interest rate rises. We also think it will be hard to achieve further gross margin gains, with uncertainty over sterling and recent increases in freight costs affecting imported products," he commented.
Dunelm Mill was founded in 1979 by Will's parents, Bill and Jean Adderley, who began the business at a market stall selling ready-made curtains. Today, the company boasts 104 outlets across the country selling ready-made curtains, towels and bed linen along with a wide range of other items for home and garden.
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