A Danish bed retail chain, part of the Lars Larsen Group, maintains shares its Swedish expansion plans, despite facing challenges. In the financial year 2023/24, the company SENG reports revenue on par with the previous year at DKK 188.7m. The same applies to the EBIT result, which stands at DKK -5.9m, compared to last year's revenue of DKK 192.5m and EBIT of DKK -5.7m.
'Like many other retailers, we have also faced a challenging market affected by inflation, where consumers have prioritised, for example, travel. In spite of these obstacles, we have managed to maintain last year's level, and I would like to thank our employees in both Denmark and Sweden for their efforts,' says CEO of SENG, Hanne Bang Vorre.
In Sweden, SENG has managed to grow the business and improve revenue by 26 percent, and SENG continues to have ambitions for Sweden, where the company acquired the bed retail chain Sängjätten in 2021.
Hanne Bang Vorre.
'This year, we have completed the implementation of the SENG concept in all former Sängjätten stores. The Swedish consumers have given us a warm welcome, and we would like to open even more stores in Sweden,' says Hanne Bang Vorre.
In the subsidiary, Sengetid.dk, revenue and EBIT fell below last year's levels, partly due to a restructuring that required new hires after closing the Ishøj office and consolidating all activities at the SENG office in Sabro near Aarhus.
'There are several synergies between SENG and Sengetid.dk that we can now truly benefit from. However, the online market for beds is tough and competitive. But the latest figures for Sengetid.dk look promising, so we still believe the development can be turned around with the right initiatives,' says Hanne Bang Vorre.
Overall, SENG Group concludes the financial year 2023/24 with a revenue of DKK 305m compared to DKK 307.8m in 2022/23, and a result before tax of DKK -46.6m, representing an improvement of DKK 14m compared to 2022/23.
Bed specialists and sleep advisors
This year, SENG celebrated 25 years since the first store opened under the name 'SengeSpecialisten.' In 2023, the chain changed its name to SENG – a transformation with both benefits and challenges.
'Our brand awareness has naturally been impacted by the name change, and it requires time and resources to strengthen it. On the other hand, we have gained a new, more modern image that has allowed us more creative opportunities and access to new, slightly younger target groups,' says Hanne Bang Vorre. 'Although it is no longer in our name, we are still specialists. Our competent advice continues to differentiate us in the market. And as an extension to this, we have invested in training of a large group of our employees to become sleep specialists, enabling us to offer customers even more personalised guidance on how to optimise their sleep.'
In Hellerup in North Zealand, customers will soon have sleep specialists readily available, as a SENG store is set to open here in December. This marks the first new store in Denmark in nearly three years for SENG.
'Hellerup has long been on our wishlist. We have found an excellent location in a beautiful, older building that matches our concept, making Hellerup our store number 31 in Denmark,' Hanne Bang Vorre concludes.
More information:
SENG
www.seng.dk