Share Prices & Company Research

Market News

22 Dec 2020 | 08:15

DFS benefits from lockdown spending in year-to-date

(Sharecast News) - Upholstered furniture retailer DFS Furniture said on Tuesday that manufacturing and deliveries were ongoing through the current 'tier 4' restrictions, although showrooms were currently closed in Wales, the Netherlands and in 'tier 4' areas of England. The London-listed firm said gross sales over the 24 weeks to 13 December were 19% ahead on the prior year, with its order bank described as "strong", providing future resilience.

Gross sales via its online channels were 76% ahead of the comparative prior-year period.

DFS said that performance reflected the benefit of a shift in spending to home categories, and also market share gains, leading to "particularly strong" order intake in the first quarter, and a resilient second quarter to-date, despite "extensive" showroom closures in November.

Subject to the extent of enforced showroom closures, and based on cautious order intake assumptions, DFS said it was expecting full-year profit before tax and brand amortisation to be within the upper half of the current market forecast range.

It also said it was in a "robust" financial position, with closing interim pre-IFRS 16 net debt expected to be between £40m and £50m, making for a reduction over the 26 weeks of more than £115m.

"We are working all hours focusing on what we can control to look after our people and our customers," said group chief executive officer Tim Stacey.

"While the current environment is clearly unpredictable, our business model is resilient and we are well set for medium term growth."

At 0819 GMT, shares in DFS Furniture were up 10.48% at 232p.
Get in touch today
Join Redmayne Bentley
Talk to us now about opening a new account or transferring your account from another provider
0113 243 6941
Get in touch today
Contact your local office
Contact your local office to find out more
The value of your investments and the income from them may go down as well as up, and you could get back less than you invested.
Continuing our Personal Service: View our Latest COVID-19 Update: 7th October 2021
We use cookies on this site to improve your experience and help us provide you with a better website. An explanation of the cookies we use and their purpose can be found within our Cookie Policy. Your continued use of this site means you consent to the use of cookies.