Direct-to-consumer retailer Furniturebox has credited its new warehouse headquarters [pictured] as it reported a £612,000 profit in 2024, following a £1mn loss the previous year.
Sales also increased by 20.6%, with turn-over in the US tripling as it launched more than 100 products. It also expanded its reach in the states through Amazon US, with European sales outside the UK also doubling.
When publishing results for the 2023-24 financial year ending on 31 July 2024, co-owners Monty George and Dan Beckles said US expansion drove growth across all sectors, despite a “complex” domestic environment hit by “persistent cost of living concerns”.
George, said: “We are delighted to have returned to profit with a big jump in sales in what has been a really tough market for everyone in the interiors market.
“Our first loss the previous year was due to the major investment in our new warehouse headquarters which has brought huge efficiency savings and allows us to deliver more quickly than our competitors.
“This was part of a long-term strategy which is really paying dividends with a strong new management team in place, all committed to sustainable growth here and in the US and throughout the rest of Europe.”
Read more: INTERVIEW Furniturebox “customers should not have to wait eight weeks for a sofa”
In a report accompanying the results, George and Beckles added that their “core growth strategy” remained on track and they were confident of ‘accelerated momentum’ in the current financial year, despite “mixed signals in the market”.
The report said that new challenges including conflicts in the Middle East had led to shipping delays and rising costs, putting pressure on margins. But the business had still managed to increase margins due to its strong supplier relationships and proactive planning.
Furniturebox has also made sustainability a priority with a “no plastic” first approach which has seen a reduction in plastic usage and greater use of recycled material. The company has achieved FSC (Forest Stewardship Council) certification for the second year – using forest products that are sustainably sourced and managed.
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