Dunelm has already forecast full-year profits of around £188 million, so what it says about the current year will be the focus of next week’s update.
Deutsche Bank says consensus isn't feeding a stronger-than-expected 2023 into improved expectations for next year, which it believes is harsh on the homewares retailer.
Industry (BDO) and Dunelm datapoints indicate a strong start to fiscal 2024 with continued market share gains, possibly at the expense of John Lewis.
Cost pressures have largely been alleviated, with currency movements becoming a tailwind towards the end of this year, which will translate into a 60-basis point margin improvement, calculates the bank.
Consensus numbers for the year just ended are revenues of £1.63 billion and profits of £189m, rising to £1.72b and £204m in 2024.
The German bank’s share price target is 1,340p.