Poltronesofa is on course to return to the black for the first time in three years, according to the 97 branch upholstery chain.
Gross sales were almost static at £253.5m in 2025, despite the refurbishment-related disruption as the Poltronesofa branding replaced ScS and the store
format roll out was completed.
The company says it saw a ‘materially improved’ financial performance in 2025, and expects to make
an operating profit for 2026.
Gross margin rose from 47.4% to 49.4%, thanks to
the revamped product offer, sourcing changes and reduced discounting.
‘The company achieved a materially improved
underlying operating result. After adjusting for the impact of temporary store closures and one-off integration costs, the 2025 financial result was close to breakeven,’ it says.
The company has yet to file its accounts with Companies House.
The company has invested £60m on the revamp since it bought the cash-rich ScS in January 2024.
‘This substantial investment demonstrates the strong commitment of the Poltronesofa Group to the UK market,’ it says.
‘It has materially upgraded the store network and commercial proposition, while strengthening the company’s operational foundations for improved profitability and providing the platform for the next
phase of growth,’ it says.
It says it has been encouraged by the chain’s performance since the rebranding and expects to deliver an operating profit this year, followed by a major profit improvement in 2027.
‘The 2025 financial year has been one of investment and transformation. The business absorbed the disruption of a major store renewal programme while delivering positive order intake, improved gross margin and a stronger underlying financial performance.
‘The transformation programme is now complete, and our focus is firmly on translating that investment into further sales growth, a stronger customer offer and continued profit progression.’
