Dunelm sees profit below prior year amid flat life-for-like sales in Q4
StockMarketWire.com - Home furnishings Dunelm said total like-for-like sales were broadly flat in the final quarter of the last financial year, rising just 0.1% as like-for-like store sales fell 4.6% amid weak footfall.
For the 12 months to 30 July, store like-for-like sales rose 1% to £805m and online sales grew 37.9% to £105.4m, resulting in total like-for-likes of £910.4m, up 4.2% .
Total group sales increased 9.9% to £1.05bn.
The company expects to report a loss of £3m amid plans to sell remaining clearance merchandise at a discount.
The company said it would open two new stores in the new financial year.
For the full year, group gross margin is expected to be around 48.0%, representing a 90 basis points decline over the year, but this would be an improvement from the 180 basis point decline seen in the first half.
Profit before tax for the year is expected to come in at about £102m, that is below the £109.3m seen in the previous year, amid losses of £8.5m at the Worldstores businesses.
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