Dunelm down despite strong sales

Shares in FTSE 250 homewares retailer Dunelm (LON:DNLM) have fallen by 4.95% to 1,480p (as of 15:55 BST) despite reporting a 36.7% boost in total sales for the 13 weeks ended 26th September. Management said that the firm had benefited from lower discounting and that performance during the first quarter had been ahead of expectations. However, the company warned that conditions remain unstable and they have not issued forward guidance at this time.

CEO Nick Wilkinson commented: “We are really pleased with our very strong performance in the first quarter, with customers responding well to the Dunelm offer across all product categories, both in-store and online.

Recent months have seen homewares become even more relevant, as people spend more time in their homes up and down the country. Our colleagues and suppliers have worked really hard to ensure our value focused, market leading proposition resonates with customers. The strength in trading at this early point in the year is testament to their exceptional commitment and adaptability.

While we remain cautious about the continued uncertainty in the wider market, the resilience and flexibility of our business model leaves us well positioned as we enter our peak trading period and we remain confident in our ability to grow market share and help even more customers create a home they love“.