A major furniture retailer plans to refurbish and rebrand an additional eight Fabb Furniture stores by the end of June 2025. Following its acquisition of Fabb in May 2024, the retailer began the first phase of rebranding with stores in Thurrock, Leicester, Coventry, and Farnborough in December 2024. These rebranded stores performed well, with three becoming the highest-performing locations in the UK network in January 2025, despite only one being among Fabb's top five prior to the acquisition.
Photo: Nick Scali.
Nick Scali, which acquired 21 Fabb stores, closed its Peterborough location after the lease expired, citing its unsuitability for rebranding. The company plans to find a new site in Peterborough and is exploring additional new store opportunities. By the end of its financial year in June, the retailer expects to complete 12 remodels, though it acknowledged that the disruption from the rebranding will continue to impact orders in the short term.
UK sales orders totalled $19.4 million (£9.8 million) in the six months to December 2024, affected by store closures and the clearing of Fabb products. However, the retailer achieved about $2 million in annual savings through restructuring, leading to a smaller-than-expected loss. The UK division reported a net loss of $4.1 million (£2.07 million) for the half-year, which was better than the earlier forecast of $5.1–5.9 million.
Nick Scali's overall revenue rose 11% to $251.1 million, but net earnings fell by 30% to $30 million, partially due to issues with its freight forwarder in Australia.
Source: www.thefurnishingreport.com