Furniture Village doubles employee profit share payout after strong full year performance
Furniture Village has doubled the amount paid out in its employee profit share scheme.
Following the retailer’s share buyback in October 2022, which resulted in the business becoming 100% family owned, it implemented a share scheme known as the ‘Family Partnership’. This year, Furniture Village was able to share £2,25 million with around 1,050 eligible employees.
The news comes as the retailer announced improved results for the year ended June 2024 when order intake rose by 3% on a like-for-like basis and profits came in at £12.35 million to mark a record year outside the immediate post Covid period..
Peter Harrison, chairman of Furniture Village, said: “Improving performance is not a God-given-right, especially in the big-ticket sector, which is often more sensitive to economic and political fluctuations.
“However, our commitment to taking care of our customers and, most importantly, our own people has proven invaluable during these uncertain times.
“We firmly believe in bringing our people along with us, and these results are a testament to their extraordinary efforts, for which we are immensely grateful.”
While troubles in the Middle East and Suez caused a degree of disruption to deliveries, Furniture Village said its supply chain and fulfilment teams were able to minimise how it affected customers.
The retailer has recently announced that it will be launching its first store in Edinburgh on Boxing Day. It is also investing in a new ERP system which is expected to be up and running in the next 18 to 24 months.
Charlie Harrison, Furniture Village managing director, said: “Once again, we have demonstrated that it is possible to be profitable and cash generative yet still ‘do it properly’, as we say.
“We have no borrowings and no external shareholders, but sufficient funds to continue to grow organically by investing in new and existing stores as well as online.
“Throughout the years we have been very considered and deliberate in our expansion strategy and our plans are to continue to grow in a sensible, measured way, taking advantage of the right opportunities when they become available.”
