DFS, the UK-based upholstered furniture retailer, expects its full-year pre-tax profit to surpass the upper end of its guidance, driven by sustained market share gains and robust trading across its brands. In its trading update for the 52 weeks ending 29 June 2025, the Group reported a 10% year-on-year increase in order intake for both halves of the year.
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Sales rose across both core brands, with DFS up 8.7% and Sofology climbing 16.2%, reflecting the success of growth initiatives. Although gross sales increased 5.8%, this was slightly below order intake growth due to extended lead times and the prior year's 53-week reporting period.
DFS noted that "disciplined cost management" and margin improvements contributed to profit performance exceeding expectations, with pre-tax profits set to rise above the forecasted £25m–£29m range, up from £10.5m in FY24.
Group CEO Tim Stacey credited a strong first half and ongoing margin discipline for the performance, stating the business is "well positioned" for continued growth as the market recovers. He reaffirmed DFS's medium-term goal of reaching £1.4bn in revenue and 8% profit margins, despite macroeconomic pressures. The Group also reported strong cash flow and a strengthening balance sheet.
Source: www.bigfurnituregroup.com