Financial highlights and KPI's
Why it’s important
Sustainable growth in sales is key to our long term success, increasing market share and creating opportunities.
What we measure
Gross sales is a measure taken directly from our primary statement of accounts, and is the combined total of all furniture and flooring sales made, excluding VAT, both online and across all of our stores.
Why it’s important
Whilst overall sales growth is important, understanding how the same stores perform year on year provides a guide to underlying store performance. Due to lead times, order growth also gives a view as to future delivered sales performance.
What we measure
Like-for-like order growth compares year-on-year trading performance from comparable stores. It therefore excludes new and closed stores. Order value is a combined total of all furniture and flooring orders booked, including VAT, both online and across all of our stores.
Why it’s important
The Group needs to maximise its share of customers wanting to transact online.
What we measure
Online sales growth is the portion of the gross sales figure as defined above, attributable to our online website and telesales.
Why it’s important
To grow profitably, the Group must ensure that sales growth is supported by maintaining or growing the gross margin.
What we measure
Gross margin % of gross sales is a measure taken directly from our primary statement of accounts, and is the total margin made from sale of product, excluding VAT, as a proportion of total gross sales.
Why it’s important
EBITDA is a good indicator of the cash generation capability and direct profitability of the business.
What we measure
EBITDA is earnings before interest, tax, depreciation and amortization, as well as any exceptional expenditure. We explain how this reconciles to profit before tax in the Financial Review.
Why it’s important
EPS is key to the business to understand the return being generated from profits to our shareholders.
What we measure
EPS is calculated by dividing profit attributable to shareholders by the average number of outstanding shares. The underlying measure excludes any exceptional items arising in the year.
Why it’s important
For our business to grow without increasing the store estate, we must generate increasing revenues in the trading space we currently occupy.
What we measure
Sales density per square foot takes total gross sales made, excluding VAT, divided by the trading space available across our store network
Why it’s important
Customers want confidence that their retailer of choice can deliver on their promises. We focus on our TrustScore to ensure we maintain our 5-star ‘Excellent’ rating.
What we measure
Our TrustScore is a measure provided by TrustPilot, an independent review platform used by our customers which asks them to rate our customer service.
