Dfs Furniture Plc · LSE:DFS
Dfs Furniture — FY26 Earnings Presentation
26 slides from Dfs Furniture's earnings presentation, Sep 24, 2026
Slide 1: FY26 Results
DFS Furniture PLC FY26 Results 24 September 2026 1
Slide 2: Agenda
DFS FURNITURE PLC | FY26 RESULTS Agenda Highlights Tim Stacey Financials Dominique Highfield Strategy & Operational Update Tim Stacey Outlook & Summary Tim Stacey Questions & Answers Tim Stacey & Dominique Highfield 2
Slide 3: Highlights
Highlights Strategic execution delivers profit growth, cash generation and record customer scores underpinning confidence in medium term targets Strong profit performance and financial position strengthened: £45M 0.9X ● ● Revenue growth; +2.6% YoY in a weak market Gross margin target achieved; 58.1%
Slide 4: Agenda
DFS FURNITURE PLC | FY26 RESULTS Agenda Highlights Tim Stacey Financials Dominique Highfield Strategy & Operational Update Tim Stacey Outlook & Summary Tim Stacey Questions & Answers Tim Stacey & Dominique Highfield 4
Slide 5: Results overview
Results overview Strong P&L and cash flow performance £m (unless otherwise stated) FY26 FY25 YoY Revenue 1,057.5 1,030.3 2.6% Underlying PBT(A)1 44.9 30.2 14.7 Reported PBT 43.7 32.9 10.8 Underlying basic EPS 13.8p 9.2p 4.6p Net bank debt 69.0 107.0 (38.0) 2 Leverage 0.9x 1.4x (0.5x) ● Revenue growt
Slide 6: Order intake and revenue
Order intake and revenue Sustained market outperformance amid macroeconomic headwinds Order intake growth YoY Order intake growth: H1 2.3% ● Order intake slightly ahead of the wider market3 and significant prior year market share gains maintained H2 (4.4%) ● Solid H1 (+2.3%) softened into H2 (-4.4%)
Slide 7: Gross margin
Gross margin 58% target rate achieved ..+160bps YoY.. 4 614 5 +0.4%pts 12 +0.5%pts 582 11 +0.7%pts 58.1% 56.5% 55.8% 56.5% FY25 Volume Product margin Freight FX FY26 Product margin Freight & FX tailwinds ● Group buying synergies ● Freight: Container rates normalised YoY, reverting toward average lev
Slide 8: Operating costs (inc dep & interest)
Operating costs (inc dep & interest) Ongoing cost savings & lower financing costs, partially offset cost inflation & funded investment ● Volume: Wage commissions and delivery costs ..+£17m / +3% YoY.. ● Inflation: Primarily wage related and NIC rate / threshold change 6 (4) ● Marketing: Building awa
Slide 9: Cash flow
Cash flow Strong cash generation supporting increased growth investment, debt reduction and recommencement of ordinary dividend payments £m (unless otherwise stated) FY26 FY25 ● Capital investment rose to fund growth projects, including a new Underlying EBITDA1 162.9 157.2 mezzanine to support our H
Slide 10: Capital allocation
Capital allocation Remain focused on further strengthening our balance sheet over time, balanced with growth investment and shareholder returns Framework Current Position Balance Sheet Leverage 0.5x-1.0x ● Making strong progress with the ratio now in target range. & Liquidity ● Further reduction rem
Slide 11: Financial performance summary
Financial performance summary Navigating macro pressures to deliver profit growth and shareholder value Upweighted PBT growth Balance sheet health guidance delivered Outperformed market demand in H2 Driven by solid gross margin Strong cash flow generation and through strong customer proposition prog
Slide 12: Agenda
DFS FURNITURE PLC | FY26 RESULTS Agenda Highlights Tim Stacey Financials Dominique Highfield Strategy & Operational Update Tim Stacey Outlook & Summary Tim Stacey Questions & Answers Tim Stacey & Dominique Highfield 12
Slide 13: Our updated growth strategy
Our updated growth strategy Strengthen our upholstery leadership position, capture more Home spend and leverage our platforms Our Purpose and Mission Furnishing better lives, together. Through our passion for style Furnishing better lives, together and comfort, we help customers create spaces they l
Slide 14: Market share evolution
Market share evolution Steady and consistent market share gains, extending our market leadership position DFS Group: ● Steady share progression, extending market leadership position DFS Group ● Significant uplift in 2021 following major competitor closure Retail park: ● Examples: Furniture Village,
Slide 15: Market drivers and market size
Market drivers and market size Demand remains low relative to long term averages, potential for significant market recovery if macro conditions improve Upholstery market size Consumer Confidence Adjusted for price inflation Property transactions Consumer confidence: GFK Property transactions: HMRC -
Slide 16: Medium term opportunity
Medium term opportunity Significant profit growth potential …Market recovery …will drive significant… profit uplift… 100 …Multiple growth levers within our control… 70 8% PBT 45 Margin 6% PBT Margin 4.5% PBT 55.8 Margin % FY26 Core Sub-total Partial market Home Platforms Upholstery recovery Market c
Slide 17: Leveraging our scale & vertical integration
Leveraging our scale & vertical integration Driving leadership through market reach, exclusive partnerships and innovation Market Leadership Exclusive Product, Showroom & Scale Partnerships & Brand Innovation 40% share 40% 45% dfs brand sales from exclusive Smart, tech-enabled ranges displayed MARKE
Slide 18: Data, technology and AI
Data, technology and AI Enhancing our data and technology lever through scaling our proven AI capabilities Inspire Discover Transact Support Audio-integrated ranges and immersive Personalised web experience and Soft credit checks, complete-at-home AI chatbots, intelligent call routing, and room sets
Slide 19: Harnessing our unique culture
Harnessing our unique culture Driven by our purpose, values and communities Our Purpose Furnishing better lives, together Through our passion for style and comfort, we help customers create spaces they love to live in. +19% YoY Engagement Social Impact Colleague Networks Our values give us our focus
Slide 20: Agenda
DFS FURNITURE PLC | FY26 RESULTS Agenda Highlights Tim Stacey Financials Dominique Highfield Strategy & Operational Update Tim Stacey Outlook & Summary Tim Stacey Questions & Answers Tim Stacey & Dominique Highfield 20
Slide 21: Outlook
Outlook Expect to deliver moderate profit growth in FY27 in a soft market. Confident in achieving medium term targets Near Term Medium Term ● We are planning for a flat market ● Multiple growth levers fully within control to drive future performance ● Expect to deliver moderate profit growth YoY dri
Slide 22: Conclusions
Conclusions Strong profit progression, well positioned for future growth Strong Financial Operational Growth Performance Momentum Potential ● Delivered upgraded profit guidance ● Business operations in great shape ● Multiple growth levers within our despite market softening in H2 control ● Structura
Slide 23: Agenda
DFS FURNITURE PLC | FY26 RESULTS Agenda Highlights Tim Stacey Financials Dominique Highfield Strategy & Operational Update Tim Stacey Outlook & Summary Tim Stacey Questions & Answers Tim Stacey & Dominique Highfield 23
Slide 24: DFS GROUP
DFS GROUP
Slide 25: Appendix
Appendix DFS GROUP
Slide 26: Group showroom profile
Group showroom profile As at 28 June 2026 (Vs June 2025) UK ROI TOTAL Large format (c. 15,000sq.ft.+) 91 (+1) 3 94 (+1) Medium format (c. 10,000sq.ft.) 17 2 19 Small format (c. 5,000sq.ft.) 2 - 2 DFS outlet 0 (-1) - 0 (-1) DFS TOTAL 110 (0) 5 115 (0) Large format (c. 15,000sq.ft.+) 54 (-1) - 54 (-1)