Business
Trading Statement
DFS Furniture plc has announced a trading update indicating strong profit growth and cash flow, with full-year profit expected to exceed current market consensus. The company anticipates first-half underlying profit before tax and brand amortisation (PBTu(A)) to be between £30-31 million, a significant increase year-on-year. Group order intake rose by 2.3%, and gross sales are projected to increase by approximately 8.7%. Net bank debt has reduced to £60-61 million, with leverage improving to 0.8x. The company now expects full-year PBTu(A) to be between £43-50 million, surpassing the consensus of £41 million. Additionally, DFS has appointed Dominique Highfield as its new Chief Financial Officer, joining in May 2026. Disclaimer*
About this update from Dfs Furniture Plc
20 January 2026 Immediate release DFS Furniture plc ("DFS" and the "Group") Trading Update Strategic execution driving strong profit growth and cash flow Full year profit expected to be ahead of current market consensus DFS Furniture plc, the market leading retailer of upholstered furniture in the United Kingdom, today announces a trading update for the 26 week financial reporting period ended 28 December 2025, together with an update on recent trading. Summary: ● Strong financial performance reflects our market leading customer proposition, strong gross margin progression, continued cost discipline and the benefits of operating leverage. ● H1 Group PBTu(A)1 expected to be £30-31m, up +£13 to +£14m year on year. ● Group order intake during the period was up +2.3% year on year, with both DFS and Sofology brands achieving growth, against strong comparatives and in a broadly flat market. ● Gross sales recognised on delivery of orders to customers, are expected to be up +c8.7% year on year driven by the conversion to delivered orders of the elevated opening order bank as previously guided and the continued positive order intake performance. ● Strong free cash flow generation during the period resulted in net bank debt reducing from £107m at full year 2025 to c£60-61m at 28 December, with leverage2 improving from 1.4x to 0.8x on a reported basis (1.0x adjusting for phasing of working capital) within our target range of 0.5x-1.0x. Recent trading and outlook: ● The important Winter sale trading period has started in line with our expectations. ● Whilst the macroeconomic and consumer outlook remains hard to predict, as a result of the strong first half performance and our trading performance through the second half to date we now expect full year PBTu(A) to be between £43-50m, ahead of current consensus of £41m. The Group will announce its interim results for the period ended 28 December 2025 on 19 March 2026. New Chief Financial Officer appointed: We are pleased to announce that Dominique Highfield will be joining the Group in May 2026 as our permanent CFO. Dominique is currently CFO at Bloom and Wild, and previously held senior finance and operational roles at Purplebricks, Pentland and Amazon. She has an ex...