Sofas & Stuff has reported a slight decline in annual sales but remains positive about future growth following the success of its newly opened stores.
© Sofas & Stuff
For the year ending 31 December 2024, total sales fell 3.4% to £25m from £25.9m in 2023. UK sales dropped 2.7% to £24.8m, while EU sales grew to £201,000 from £105,000. Pre-tax profit decreased to £372,000, down from £909,000 the previous year.
The company attributed the weaker performance to a slowdown in consumer spending and delays in December deliveries, with around 25% pushed into January 2025. These deferred sales are expected to boost next year's figures.
Despite the dip, new stores have provided a positive outlook. The flagship store on London's King's Road, launched in spring 2024, is on track to meet its first-year targets and is set to significantly support 2025 profits. Meanwhile, a smaller-format store in Bruton, Somerset, has exceeded expectations, trading 15% above budget.
The company noted that the Bruton model offers significant potential for expansion into other high-net-worth areas, signalling confidence in its growth strategy despite the challenging retail environment.
Source: www.bigfurnituregroup.com
