Independent retailer Furniture Village has reported a growth in both top and bottom lines as continued store expansion plans gather pace.
According to its latest trading update for the year ended 27 March 2016, total sales grew by 12.4% to £265m, with like-for-like growth up by 10% on last year, with existing stores and online both delivering ‘strong’ growth.
Furniture Village said that the performance helped underlying trading EBITDA (pre one off and new store costs) grow to £9.6m, an uplift of £1.1m on the prior year, whilst end of year cash at the bank increased to £20.1m from £12.9m as well as remaining debt free.
During the year Furniture Village made a significant capital investment of £7m and continued its physical store expansion, with the opening of three new stores in Enfield, Northampton and Stevenage, alongside improving its online platform.
Further rollouts are expected to open with six more scheduled for launch this year, with its new store in Preston already open taking Furniture Village to a total of 50 across the UK.
This further growth will be supported by unprecedented levels of investment in infrastructure including an enhanced distribution network and a new, fully integrated ERP solution, currently being developed ready for launch next year.
Peter Harrison, CEO of Furniture Village said: “We strive to do both different and better things to stand out in our market and it’s pleasing to see our hard work translating into such positive results. As we expand and benefit from efficiencies in scale we will stay focussed on reinvesting in our business to ensure we deliver a strong, sensible and sustainable rate of growth.
“Without doubt our greatest point of difference remains our people and I would like to thank each and every one of them for their drive, their passion and their commitment in helping to deliver these results.
“Potential threats posed to business by ‘consumer uncertainty’ and ‘rising inflation’ emanating from the decision to leave the European Union cannot be ignored. We will however be taking whatever actions are necessary to ensure that we successfully navigate through expected turbulence and remain on a course of profitable growth.”