Sales soar and like-for-likes climb
In its first set of interims as a listed company, specialist homewares retailer Dunelm revealed that sales soared 13.2 per cent to£178.4 million and like-for-likes were up 5 per cent for the 26 weeks to December 30, because of new store openings, improved products and better infrastructure.

Underlying operating profit, excluding the costs of transferring to a new central warehouse (£1 million) and an IPO (£3 million), rose 9.2 per cent to£23.7 million, compared with£21.7 million in 2005. Underlying pre-tax profit (excluding costs) was£21.9 million, compared with£22.1 million in 2005.

Operating profit was£19.7 million, compared with£21.7 million in 2005. Pre-tax profit was£17.9 million, compared with£22.1 million in 2005.

According to the company, it was a strong performance in a subdued market, with consistent like-for-like sales growth from August. The retailer said it also continued to focus on its Simply Value For Money proposition.

Two superstores opened, in Stevenage and Colchester, and the company is on track for six new outlets this financial year.

Dunelm chief executive Will Adderley said: 'Following our successful flotation in October, we are pleased to report a robust set of maiden interim results. We have made significant strategic progress, continuing to expand our presence through store openings, further improving our specialist homewares offering and developing our infrastructure.'

Adderley said that trading in the second half has started well -sales rose 10 per cent for the 9 weeks to March 3 and like-for-likes were up 4.1 per cent.

He said: 'We are confident of being able to meet our expectations for the year as a whole. Clearly, however, this confidence needs to be tempered by the risk of demand being impacted by macroeconomic factors.

He added: 'We continue to have a very clear focus on our customer and our offer. Putting this with our strong management team and a determination to grow, we continue to work towards our long-term target of 150 superstores across the UK.'