Homewares retailer Dunelm has announced that total sales in the first half of the financial year increased by 2.4 per cent despite the “challenging market.”

The company said that total sales had reached £894 million, with sales growing 1.6 per cent in the second quarter.

Dunelm said that it was pleased with the “solid performance” in the market which has “remained volatile”.

The positive results are a likely a welcome relief for the brand, which is operating in a homewares market that has seen several high-profile collapses in recent years, including Carpetright and Wilko.

In its latest financial results, Dunelm said that the proportion of customers shopping online vs the store increased by three per cent to 39 per cent, with customers responding well to its ongoing improvements to its digital experience.

Sales via Click and Collect also grew, which Dunelm attributed to an increased breadth of ranges and the higher proportion of products available for collection in stores.

Dunelm said that its furniture categories performed well, including large items such as sofas, as well as smaller products such as coffee tables.

Dunelm said that despite the challenges facing the retail sector, it is still expecting its full year pre-tax profit to be within the range of market expectations of £207 million to £217 million.

“We’ve made significant strategic progress across multiple initiatives which are helping us to improve our attractive, specialist offer and continue to gain market share,” said Nick Wilkinson, chief executive at Dunelm. “We have taken our first steps outside the UK with the acquisition of 13 stores in Ireland, opened our first inner London store in Westfield, and made further improvements to our online customer experience which is contributing to continued strong digital growth.

“As we navigate this challenging environment, we see even more opportunities to harness our unique business model, raise the bar on our proposition and fulfil our ambitions as The Home of Homes.”

---