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Dunelm Group: Coronavirus Restriction Updates

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Following the announcement of further restrictions across England relating to COVID-19, Dunelm Group plc ("Dunelm" or "the Group") provides the following update. 

Since our first quarter trading update on 15 October 2020, we have continued to perform very strongly in store and online, across all product categories, with total sales continuing to grow in line with the first quarter.   

However, the latest legislation announced in England relating to COVID-19 restrictions does not include 'homewares' on the list of permitted retail businesses. This is both unexpected and inconsistent with the guidance provided during the previous national lockdown, when homewares was added to the essential retail list in May.  

As a result, from today until 2 December 2020, our 145 stores in England will continue to operate Click and Collect services but will otherwise be closed to customers. 

Our nine stores in Wales, which have been closed during the 'firebreak' lockdown period, are expected to reopen on 9 November, while our stores in Scotland and Northern Ireland currently remain open. 

Online home delivery will continue to operate across the country, with recent investments providing us with increased capability and capacity to support an expected increase in demand during the lockdown period. 

Whilst the new restrictions have increased the level of uncertainty in the outlook for the financial year, we remain confident in our proposition and the adaptability of our total retail system.  We look forward to welcoming customers back into our stores when the restrictions are lifted. 

The Group continues to have a very strong balance sheet with a net cash position of £156m as at 31 October 2020 and access to £175m of bank financing facilities.

Source : Dunelm

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04 November 2020

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Thank you for the excellent presentation that you gave at Woodbury Park on Thursday morning. It was very interesting and thought-provoking for our Retail members. The feedback has been excellent.

Martin Elliott. Chief Executive - Home Hardware.

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