DFS sofa chain profits take hit following tough spring
Sofa chain DFS, which has one store in Northern Ireland, has confirmed that profits will take a hit after an uncertain economic environment, the snap general election and warm weather led to weak trading at its stores.
The retailer said it saw "significant declines in store footfall and customer orders" from April to June, leading to a 4% fall in second half revenue. It follows a strong first six months of the year, when sales rose 7%, helping total revenue for the year ending July 29 eke out 1% growth.
As previously flagged, DFS anticipates full-year operating profit to be lower than market expectations, in the range of £82m to £87m.
In a stock market update, the retailer said: "The second half has been weaker than we expected owing to significant declines in store footfall and customer orders across April, May and June.
"We believe this to be an industry-wide issue, resulting from the uncertain economic environment and unexpected general election, exacerbated by warm weather in May and June."
The retailer's local store is on Belfast's Boucher Road.