Jysk Reports €3 Million Pre-Tax Profits Amid Expansion Growth

The Irish branch of the furniture retailer Jysk reported a pre-tax profit of €3 million for the fiscal year ending in August 2024, marking a 17 percent decrease compared to €3.68 million in the previous year. Despite this decline in profits, revenues surged by 17 percent, increasing from €59.5 million to €69.66 million. This growth is attributed to the company’s aggressive store expansion strategy, which has seen the total number of stores in Ireland rise to 25.

In newly filed accounts, Jysk’s directors highlighted the factors driving revenue growth, stating, “The 17 percent increase in revenues can be attributed to the continued store expansion in the Irish market, including the opening of two new stores, continued growth in online sales, and improvements in operations in existing stores.” They also acknowledged ongoing challenges related to high inflation, emphasizing that effective cost control remains a priority for management.

Dividend Payments and Staffing Growth

Following a successful year in terms of revenue, Jysk distributed a dividend of €3 million, up from €2.6 million in 2023. The company recorded a post-tax profit of €2.67 million, after accounting for a corporation tax charge of €347,327. The number of employees also increased, rising from 259 to 287, with 233 in administrative roles and 54 in management.

Staff costs saw a significant rise, climbing from €7.57 million to €9.86 million over the same period. This increase reflects the company’s commitment to bolstering its workforce in tandem with its expansion objectives.

Future Expansion Plans

Looking ahead, Jysk plans to continue its growth trajectory with the announcement of five new store openings across Ireland in 2025. Additionally, the company is set to establish a new head office in Park West Business Park. The post-tax profit for 2024 accounts for non-cash depreciation costs amounting to €1.69 million.

As of August 2024, Jysk reported total shareholder funds of €10 million, which includes accumulated profits of €4.56 million. Cash funds slightly decreased from €5.79 million to €5.55 million.

Jysk made its debut in Ireland in 2019 and has since expanded to operate 3,400 stores and webshops across 48 countries. Founded by Lars Larsen in 1979 in Denmark, Jysk has grown to employ 31,000 staff worldwide. In the past year, the company achieved global revenues of €5.6 billion, reflecting a 7.6 percent increase from the previous fiscal year, with earnings before interest and tax totaling €594 million.

As Jysk continues to expand its footprint, it aims to solidify its position in the highly competitive retail market, balancing growth with effective financial management.