An online home and lifestyle e-commerce retailer has reported a return to profitability despite a decrease in total sales. For the year ended 30 September 2024, the company's sales dropped to £44.4 million from £55.5 million in 2023, largely due to a shorter accounting period and its exit from the US market. UK sales accounted for £42.8 million, down from £53.4 million, while revenues from the EU declined from £2 million to £1.2 million.
© DOMU Brands
The business posted an EBITDA of £3.2 million, a significant improvement from a loss of £984,000 the previous year. Pre-tax profit also rose, reaching £2.5 million compared with a loss of £1.9 million.
The company, owner of the VonHaus brand which specialises in home accessories, DIY, and furniture, described the financial year as 'a positive year for DOMU Brands, with the business returning to profit and achieving an EBITDA of £3.2m.' It acknowledged the challenging macroeconomic environment but emphasised its ability "to adapt and maintain strong results" through tighter operational control and focus.
While revenues remained "stable" year-on-year when adjusting for the longer 2023 accounting period, the company noted the current sales represent "much higher quality revenue" than in previous years. Looking ahead, it aims for controlled and consistent year-on-year revenue growth, prioritising efficiency and productivity to increase profitability faster than top-line growth.
Despite ongoing cost pressures, including inflation and government policy impacts, the firm remains optimistic about its future, praising "the fantastic team" behind its progress.
Source: www.bigfurnituregroup.com