Bensons for Beds has reported a loss as it continues to battle “market headwinds and inflationary cost pressures”.
The retailer saw its pre-tax loss expand from £19.9m to £22m in the year ending September 28.
A new Companies House filing also shows that revenue slipped slightly from £257.4m to £256.3m, while adjusted EBITDA was at a £0.9m loss compared to £1.6m the year before.
It added that its pre-tax losses included non-cash, non-trading items of £8.8m of interest, £5.6m of depreciation and IFRS charges of £4.4m.
Bensons for Beds said this was a “resilient result” given the market and wider economic environment.
Going forward, Bensons for Beds stated that “targeted actions and disruptions” by competitors or new sector entrants could impact the group going forward.
It added that failing to find the right store locations to scale the business, failing to invest in marketing spend, and failing to roll out “other levers such as price and promotions” will not enable it to grow sales and profitability.
The retailer is making “good progress” in opening up new stores in the current financial year, and EBITDA is currently £4m ahead of the same period as last year. It is on track to deliver a “significantly improved result” from 2024.
In a statement signed off by the board, chairman Ian Shepherd said: “The external environment has continued to be challenging.
“Although it has been a more stable period in terms of key macroeconomic indicators, inflation remained high in the early part of the period and consumer demand remained subdued throughout.
“The management team in the business have used this period not only to drive the current period performance described above but to also reshape the strategy of the business for the future to ensure that we continue to take market share and take the improved financial delivery and return to profitability which these accounts show still further.”
He also praised staff for being “amazing colleagues”.
“With the challenges we began the year with, and in the continuing tricky external environment, it would have been easy to lose heart, but our colleagues have not only delivered the strong set of results we publish today but they have done so with energy, vigour, humour and commitment. As a board, we are indebted to them.”
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