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The Markets
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The Markets
by Proactive
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Retail

Dunelm upgrades profit expectations as sales soar after stores reopening

The retailer has benefited from pent-up demand following a long lockdown, a buoyant homewares market and the unseasonably cold spring weather

Dunelm Group PLC (LON:DNLM) has upgraded full-year profit expectations as sales have been doing well after stores reopened on 12 April.

The homewares retailer said profit before tax for the year to June will come in at £148mln, above analyst estimates of £128-134mln.

READ: Former Post Office boss quits boards of Dunelm, Morrisons after legal ruling

In the first seven weeks of the fourth quarter, which started on 28 March, total sales soared 59% compared with the equivalent period in 2019. The shops were closed in the same period last year.

The FTSE 250 group said the sales increase was due to pent-up demand following a long lockdown, a buoyant homewares market and the unseasonably cold spring weather.

It added that it has performed significantly ahead of the market since stores reopened, while there has been good digital growth from the home delivery and Click & Collect channels.

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