ScS hikes outlook for this year and next as orders surge

The sofa retailer saw like-for-like orders jump 79% higher on 2019 pre-pandemic levels between April and June 12 as stores reopened.

Holly Williams
Wednesday 16 June 2021 08:59 BST
An ScS store
An ScS store (PA Archive)

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Sofa retailer ScS has hiked its outlook for this financial year and next after seeing orders soar since stores reopened.

The firm, which has 100 stores across the UK, said like-for-like orders jumped 79% higher on 2019 pre-pandemic levels between April and June 12, boosted by the reopening of non-essential shops on April 12.

Orders stood at £116.6 million as at June 12 – 50% higher than a year ago, according to the group.

Shares in ScS soared 10% higher after the group declared that its performance will be ahead of expectations for the year to July 31, and also “substantially better” for 2021-22.

It also cheered investors by restarting dividends with a 3p a share interim payout and confirmed it had repaid £3 million of worker furlough support as trading has proved resilient.

Home furnishing firms are enjoying booming trade as Britons have turned to revamping their homes during lengthy lockdowns and with little else to spend their money on.

Rival DFS recently said its orders nearly doubled in the past 10 weeks compared with 2019 since shops reopened.

ScS said online orders had been strong throughout the year as stores have been disrupted by lockdown closures, up 95.3% in the year so far and 165% higher against 2019 levels.

The launch of a new website has also helped boost online trading.

ScS said: “The board is encouraged by the group’s strong trading performance since reopening.

“Whilst some uncertainty persists relating to the end to all Covid restrictions, the board believes the group is well positioned to maximise opportunities for growth.”

New chief executive Steve Carson has now taken over day-to-day running of ScS after a handover with predecessor David Knight.

Mr Knight remains available for support when required, ScS added.

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