Ikea has posted a full-year sales uplift as online sales and click-and-collect orders soar.

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Ikea UK & Ireland CEO Peter Jelkeby: “Our focus remains on new locations, new store formats and new services”

The home and furniture giant grew turnover by 11.9% to £2.46bn during its full financial year, which runs from September 2022 to August 2023. 

During the period, click-and-collect orders soared 48%, while online sales and remote sales, such as those made via its partnership with Tesco, climbed 19% and 24%, respectively.

In-store visits saw growth of 2.2%, equivalent to around 1m new customers entering UK stores. 

Ikea’s operating cost ratio dropped to 27.8% during the year, which improved its operating profit to 4.5% of total turnover versus 2.3% the year prior.

Ikea UK and Ireland CEO and chief sustainability officer Peter Jelkeby said: “In our 80th year, we can be proud of our performance. FY23 was a year in which we improved our customer experience, grew our market share and continued making meaningful investments in our business and people.

“Having overcome the challenges posed by Brexit and Covid, we have since focused on creating a more efficient organisation and improving our profitability, which gives us the financial strength to continue investing for generations to come.

“Despite a difficult economic climate, our focus remains on new locations, new store formats and in new services.”

Jelkeby continued: “As we look to the future, we are proud to have kickstarted 2024 by lowering a significant volume of prices, with more to come; underscoring our commitment to being on the side of those with the lowest means.

“Guided by the foundations set out 80 years ago, we’ll continue building a business that contributes to better homes for our customers, better lives for co-workers and communities, and a better planet for all.”