Dunelm reports £1.83 billion in sales and launches new growth strategy

Dunelm Group plc reported sales of £1.826 billion for the 52 weeks ending June 27, 2026, representing a 3.1% increase from the previous fiscal year. While profit before tax remained steady at £211 million, the retailer noted that higher revenue and improved gross margins were offset by inflation, volume-related expenses, and ongoing investments.

The company is implementing a new three-year strategic plan titled ‘Winning Hearts & Homes,’ which focuses on omnichannel expansion, cost reduction, and business simplification. Digital sales now account for 42% of total sales, up from 40% the previous year. Dunelm has also invested in digital capabilities, including a mobile app with approximately 740,000 downloads and a beta AI-powered shopping assistant.

Financial highlights include an increase in free cash flow to £154.8 million and a decline in net debt to £94.6 million. The company recommended a full-year ordinary dividend of 45.5 pence per share, a 2.2% increase.