Sofa, so good: Ikea growth driven forward by deliveries and online

Ikea grew revenues by almost six per cent in the financial year, as online sales helped expand the top line.

The furniture giant grew UK revenues by 5.9 per cent to £1.97bn for the financial year ending August.

It increased market share to 8.4 per cent from eight per cent last year.

While nearly 60m visitors flocked to the company’s stores, a 4.5 per cent rise compared to the 2017 financial year, online sales grew faster still at 14.4 per cent.

At 17 per cent, outdoor living sales increased the fastest, with cooking and home office also posting double-digit growth.

The chain, whose eponymous founder Ingvar Kamprad passed away earlier this year, opened two new stores, in Sheffield and Exeter this year, bringing its total to 21 since coming to the UK 31 years ago.

It also pushed onto the high street with its first inner-city store, on Tottenham Court Road.

UK and Ireland retail manager Javier Quinones said: “With our vision to create a better everyday life for the many people, we continue to invest in a range that’s affordable, accessible and inspirational.

“In a tough economic environment, our homes provide a sanctuary and we know that consumers continue to update them with soft furnishings, textiles and decorations, resulting in an increase of nine per cent in home decoration.”

Ikea delivered 66 per cent more parcels this year than in 2017 amid investment in its distribution and fulfilment network, opening two delivery centres and a parcel unit in London.

“Our online business allows us to be even more accessible to people who might not be within reach of a physical store,” Quinones, who took the role earlier this year, said.