Oak Furnitureland shrinks losses despite ‘challenging market’
Oak Furnitureland boss Alex Fisher said the retailer has entered its new financial year on a "much firmer footing" after like-for-like sales rose 9% in the 16 weeks to 22 December.
Oak Furnitureland boss Alex Fisher said the retailer has entered its new financial year on a “much firmer footing” after like-for-like sales rose 9% in the 16 weeks to 22 December.
The chief executive said the momentum had “continued positively” during its peak January sales and that the business was “well set to deliver future growth plans”.
His comments come as Oak Furnitureland reported shrinking operating losses last year in what it described as a “resilient” financial performance.
The furniture specialist reported a 19% improvement in its operating loss to £12.4m in the year to 30 June, down from the £15.4m it reported the year before.
This was despite group sales plummeting 17% to £236m, which it attributed to “reduced volumes caused by a soft market, the Red Sea disruption and the subsequent impact on freight and inflation costs”.
The group said its diverse product pipeline, such as expansion into upholstery, beds and cabinetry, alongside a focus on improving the online and showroom estate helped to improve profitability during the year.
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Fisher said: “Against a challenging market backdrop, with softer volumes and higher inflation, Oak Furnitureland delivered a resilient financial performance.
“Throughout the year, we have made significant headway in driving operational efficiencies alongside enhancing our product proposition to serve the whole home and make our brand more accessible to even more customers.
“I am proud of the strategic progress we delivered in the period, with the successful trial and adoption of our competitive interest-free credit offer, which resulted in the business securing additional funding and equitisation.
“This has strengthened our balance sheet and together with continued investment in our brand platform, has driven market share gains and positive LFL performance during the first half of FY25, putting us on a much firmer footing for the year ahead, with a clear plan to drive growth going forward.”
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