The boss of Dunelm has relinquished day-to-day running of the firm his parents started from a market stall in 1979 as the company confirmed another rise in profits.
Will Adderley will remain on the board of the homewares retailer to work on specific aspects of the business after his 15-year spell as chief executive helped grow the company’s annual revenues to around £500 million.
Dunelm’s half-year results show revenues up by 8.5% to £275.7 million, with pre-tax profits ahead 5% to £48.5 million in the six months to January 1.
Mr Adderley, who is now deputy chairman after the appointment of former Halfords executive Nick Wharton as chief executive, said the performance represents a period of consolidation after rapid growth last year.
Under Mr Adderley’s leadership, the chain has grown its share of the homewares market due to store openings and its position in the value-for-money sector.
From a Leicester curtain stall in 1979, the family has turned the business into the third largest firm in the £12 billion UK homewares market with 110 Dunelm Mill stores. All but 10 of the outlets are in out-of-town locations.
Dunelm joined the London stock market in 2006 and reaped a major windfall for the Adderleys after they sold a 31% stake in the £340 million flotation. The company’s market value is currently just under £900 million.
Mr Adderley, who remains a substantial shareholder in the business alongside his parents Bill and Jean, hopes his new role will allow him to spend more time on the areas “where I believe that I can add the most value”.
Mr Wharton, who has taken over as chief executive, said the company remained wary about prospects given the fragility of consumer confidence, but said Dunelm will continue to expand through new stores, refits and investment in its multi-channel offer.
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