Dunelm sees FY in line on strong sales but warns on volatility

UK furniture and homewares retailer Dunelm said it expected full-year profit to be in-line with market expectations, as demand remained strong despite the cost of living crisis that has seen consumers rein in spending.

The company reported a 1% rise in second-quarter sales to £483m, driven by the key Christmas period.

"We were particularly pleased with sales in our cook and dine category, which benefitted from improved ranges as we have developed our product mastery, and strong sell through of our Christmas products," said chief executive Nick Wilkinson.

“Whilst we are conscious that the outlook for consumer spending remains unpredictable and market conditions volatile, we are confident that we can deliver further market share gains and retain our tight operational grip on costs.”

"Consumers remain under pressure and are actively seeking true value at all price points," Wilkinson added.

Reporting by Frank Prenesti for Sharecast.com