HERNING, Denmark – Danish furniture retail chain and designer BoConcept reported revenue of 1.27 billion DKK ($188.4 million) in fiscal 2023-2024, a decrease of 12% from the previous year.
Despite the decrease, the company reported improved profitability and stable costs. EBITDA came in at 16.2%, a decrease of 0.2% from last year.
“In a year characterized by high inflation, fluctuating demand, and economic instability, we successfully sustained our market position,” said Mikael Kruse Jensen, CEO. “This resilience reflects our team’s adaptability and commitment to keeping consumers at the heart of everything we do. We are proud of our performance in 2023/24, which demonstrates our resilience and agility in a challenging market.”
The company, which operates 337 stores around the world and specializes in customizable and modern furniture, characterized the year as “post-COVID normalization of consumer activity and reduced consumer spending driven by record high inflation and an uncertain economic picture.” It also said global factors, such as the ongoing conflict in Europe, played a significant role in shaping the market landscape.
Jensen highlighted several strategies taken by the company this year, including initiatives to reduce costs in production and freight, improve its product offering and invest in digital infrastructure. He said these strategies helped it maintain satisfactory margins and its ability to “outperform international competitors.”
He also highlighted the Nawabari collection, designed in collaboration with the Danish architecture firm Bjarke Ingels, as well as the opening of new stores in Europe, the Middle East and Asia.
Going forward, BoConcept expects low single-digit revenue growth in the coming fiscal year. Over the next two years, the company expects its new digital infrastructure to drive growth further.
“Looking forward, we are focused on driving innovation in design, digitalization and consumer experience, all of which are critical to our long-term success,” said Jensen. “As we continue to invest in our digital infrastructure and expand our market presence, I am confident that with our dedicated team and loyal consumers, BoConcept will continue to deliver exceptional value and set new standards in the industry.”