Homewares retailer Dunelm has reported interim profits up 0.2 per cent to £27.3m.

Sales were down on a like-for-like basis by 5.6 per cent. Total sales grew 2.3 per cent to£201.8m in the 26 weeks to December 27.
Despite difficult trading conditions, the second half has started strongly with like-for-like sales up 4.4 per cent in the eight weeks to February 21.

Dunelm chief executive Will Adderley said: “In a significantly declining market for homewares, our first-half performance was a satisfactory result and we continue to gain market share.

“Despite the recessionary background our recent winter Sale was very successful, contributing to strong like-for-like sales growth in the first eight weeks of the second half.”

Online is becoming a more important channel for Dunelm, which now offers more than 11,000 products on its website.

Dunelm, which trades from 92 stores, said it is on target to extend the chain to at least 150 .

It will open three new shops in the second half and has already signed leases for seven new locations for the next financial year.