Furniture retailer DFS has revealed a jump in profits for the past year as it hailed its partnership with Britain’s Got Talent judge Amanda Holden.
Bosses at the company said it delivered a “robust” performance for the year to June. However, DFS stressed that it was still “cautious” about the wider economic backdrop and subdued market conditions, with order numbers declining over recent months.
Order intake slows amid extreme weather
It reported that its order intake is down 2.5% for the 12 weeks since the end of June, as “extreme weather” impacted footfall and customer demand. This represents a slowdown after order intake dipped by 1% in the year to June 28.
Despite the dip in orders, DFS revealed that revenues rose by 2.6% to £1.06 billion for the year, compared with a year earlier.
Profit growth and brand performance
The company said it benefited from a strong performance from its Sofology brand and its brand partnership with Amanda Holden. DFS reported a pre-tax profit of £43.7 million for the year, rising from £32.9 million a year earlier.
Tim Stacey, group chief executive, said: “The performance delivered in full-year 2026 demonstrates the fundamental strength, agility and resilience of the DFS Group.
“By maintaining disciplined cost management, improving gross margins to 58% and empowering our colleagues through data and technology, we delivered robust earnings growth and significantly strengthened our balance sheet.
“Looking ahead into full-year 2027, market uncertainty continues to influence consumer confidence and footfall, and we remain appropriately cautious regarding the broader macroeconomic environment.
“However, our scale, culture and technology investments – all fuelled by our new purpose and values – provide us with a clear advantage.”
Market outlook and shares
The company said that it is still “comfortable” with current market expectations and expects to outperform the wider market. Shares in the company were up 0.3% on Thursday morning.
