Dunelm has reported an increase in sales in its third quarter despite warning of an “unpredictable” customer outlook.

Dunelm Warrington

Dunelm said its ranges resonate well with ‘savvy customers’

The homewares retailer posted total sales of £423m for the 13 weeks to April 1, up 6% year on year, which it credited to a winter Sale that “resonated particularly well with savvy, home-loving customers” amid the cost-of-living crisis.

Dunelm also reported a “good response” to the introduction of new spring products.

The retailer said both in-store and online sales are achieving “strong growth” and that investment into digitalising the business was “delivering strong returns”. Digital sales accounted for 36% of the total during the quarter.

Dunelm said it remains focused on strengthening its customer offer with a focus on “choice and value for every space, style and budget”, despite the consumer outlook remaining “unpredictable”.

Chief executive Nick Wilkinson said: “We are seeing strong momentum in the business as customers continue to appreciate the quality and value across the Dunelm range, despite a challenging trading backdrop.

“This was apparent through our successful winter Sale and the positive launch of our new ranges for spring and summer as customers look forward to longer days and outdoor living. 

“As we continue to seize the many opportunities we see, we are investing for the long term and making good progress against our plans, which include the ongoing development and extension of our product ranges, building our customer data platform and optimising our marketing channels.

“These plans give us good confidence for ongoing success.”

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