Wayfair UK Sales Boost In 2019

Wayfair (UK) Limited - a subsidiary of Wayfair Stores Limited, in turn a subsidiary of the US etailer Wayfair Inc. -  has reported a increase in turnover of 142% for the year ended 31st December 2019.

Sales rose from £16,194,000 in 2018 to £39,167,000 in 2019. 

In documents submitted to Companies House, the online retailer stated that the increase was "mainly driven by the 142% increase in administrative expenses, to which a % markup is applied."  

The operating margin remained consistent at 2% year on year and net profit after tax amounted to £702,155 (2018: £328,785) and has been transferred to reseves.  No dividend was paid during the year.

The company said its strategy is to continue to grow its warehouse and fulfillment services operations in the UK, adding additional warehouse space and personnel, to drive parent company Wayfair Stores Ltd's European growth.  This is uexpected to to increase underlying expenses while also increasing revenue and operating profit in the coming year (2020).   

In August, Wayfair reported an 84% rise in global Q2 sales as a result of rising demand for home-related goods during the pandemic.  

Source : Insight DIY Team

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