Upholstered furniture and floorings specialist ScS has reported a growth in both turnover and profit as plans for further store expansion come to light.
According to ScS’s preliminary results for the 53 weeks ended 30 July 2016, all areas of the group registered ‘significant growth’ with overall sales rising by 14.5% to £334.7m from £292.2m in 2015.
ScS posted an increase in upholstered furniture sales within its stores of 13.2% to £261.3m – remaining the core category within the group. Flooring, online and House of Fraser concession sales all reported a growth of over 19% to £38.1m, £10m and £25.3m respectively.
Gross profit increased 17.3% to £149.1m, whilst EBITDA rose to £16m, up by 41.5% from its Adjusted EBITDA of £11.3m in 2015. ScS reported a strong balance sheet with cash of £22.4m, up by 6.1% on last year with no debt.
Following the continued growth, ScS has revealed it plans to launch three new stores in Plymouth, Thanet and Edinburgh with an opening date pencilled in for Boxing Day 2016, bringing its total portfolio to 100 UK outlets.
ScS also confirmed that its store in Stechford was closed after ‘careful consideration’ back in August.
As well as its physical presence, ScS has maintained its investment within its online platform, pumping in £1.4m in website development (growing from £0.7m invested in 2015), which has paid dividends as sales grew by 19.8%.
Current trading has continued in the same vein as sales order intake has increased by 4.5% on a like-for-like basis for the 9 weeks to 1 October 2016.
David Knight, chief executive officer of ScS commented: “We are delighted to be reporting significant growth across all areas of the Group for the 2016 financial year. Our sales order intake is the highest ever and is up 14.8% on a like-for-like basis.
“We are encouraged by our trading performance since the start of the current financial year, which is in line with our expectations. However, we are mindful that the Group continues to face very strong comparatives during the remainder of the year.”