Dunelm boss Will Adderley has left no time to waste since returning to the helm of the family business five months ago, as he revealed yesterday ambitious plans to grow sales by 50 per cent over the next five years.
Adderley, the son of Bill and Jean who founded the homewares retailer in 1979, was chief executive for 15 years before stepping back in 2011 to become deputy chairman.
He took over the running of the business again in September after the surprise departure of Nick Wharton, which Dunelm said at the time was part of a succession plan.
“The former chief executive did a really good job but we decided it was a time to change,” Adderley told City A.M.
“I can see bags of opportunity for us to grow harder, open more stores, and for online and home delivery. I also see continued investment in our infrastructure,” he said.
The FTSE 250 retailer, which is around 54 per cent owned by the Adderley family, currently has 142 out-of-town “superstores” selling everything from curtains to kitchenware.
However, under its new growth strategy, the group plans to work toward its goal of operating 200 stores, with a focus on the south of England.
“We have set ourselves a new, medium-term goal of growing sales by 50 per cent, with half of this coming from stores – improving sales densities in existing stores and rolling out new ones – and the balance coming from growth in the home delivery channel,” Adderley said.
Revenue in the first half of the year to 27 December increased by 14 per cent to £406.4m with like-for-like sales up 6.2 per cent.
It also lifted its interim dividend by 10 per cent and declared a special dividend of 70p per share.
Shares rose by 7.2 per cent yesterday.