Hello, and thank you for your interest in Dunelm, and for engaging in our full year results for FY26. We have had a solid year of performance, with 3.1% total sales growth coupled with slight margin expansion to 52.5%, all in a year which continued to present challenges to the whole sector.

Within the homewares and furniture £25 billion UK market, we yet again gained share to 7.9%. Our customer satisfaction increased for another year, this time up 2.4%, but I definitely want to highlight that this is already top quartile performance, but it was encouraging to see this measure improve year on year.

Through a number of efficiency and productivity initiatives, we also made strong inroads covering the on-cost of inflation, resulting in a flat year-on-year profit of £211 million. Free cash flow was up to £155 million from £127 million.

However, this was primarily driven by some heightened investments in the previous year as a result of our freeholds and acquisitions. You will all be aware of our drive to be present where our customers are, and hence have been calling out the role of digital within our business for a number of years now.

Supported by continued web enhancements, the launch and scaling of our app, and store-assisted digital selling, we are currently at 42% digital sales with consistent increases annually. Finally, we are very proud to communicate our growing ordinary dividend per share at 45.5 pence, up 1 pence versus FY25.

I hope you all know that our focus on our customers at Dunelm is a core part of what I and our team stand for. Internally, we refer to this as customer obsession, and that's increasingly driving our decision making in our business.

Therefore it is important to see the overall year-on-year uptake in customer satisfaction. With renewed focus on service and in-store experience, supported by a revitalized store operating model, alongside the rollout of our self-service tills and a revamp of our in-store walkway showcasing the very best of our offers or most relevant products, we drove an increase of 3% in our store CSAT.

As trailed throughout the year, our growing click-and-collect offer came with an increased CSAT too. Whilst noting this has come from a lower base, enhancements such as the delivery of click-and-collect rooms at the front of store, and pick-by-department functionality have facilitated ease and speed of pick, and hence customer experience.

Home delivery remains on our watch list. As whilst our own two-person delivery associated with our furniture proposition did increase year on year by 2 percentage points, our courier service enabled by third parties went back across the year.

We do have a number of operational and technology-led changes in our plan to support improvement in this space, however. One of our key strengths and the reason our customers come back to us time and time again is because of our products.

They are brilliant, and whether that's one of the 6,000 new owned-brand products we brought to the market last year or from our full-range repertoire. Whilst our hard-line products continue to perform strongly, lighting in particular has gained more traction with our customers, up 8 percentage points year on year.

We are also encouraged that following a Q2 availability challenge on furniture, our availability has been strong throughout the second half. Our 12 campaigns and events continue to play an important role with customers outside of our two core sale events.

We flagged with you in Q2 the impact of Black Friday and the associated considerations for us looking forward. Relevance is key.

Our focus on summer living paid dividend, with our campaign matching the size and scale of our traditional winter warm performance, both of which were our top-performing campaigns. There is more to do in this space, however, as summer living hasn't historically been a key area of focus for us, and we know there was unmet demand.

While relevance is important, having a point of view on design as a specialist is also critical. Our collaboration with Yinka Ilori, from twinkle in the eye to product on shelves and online within 18 months, demonstrated not only that, but the pace and precision of execution.

One of the rugs in the range sold out within a day of launch, and the pink and green dining chair within a week. In areas like this, planned scarcity will continue to be a key factor.

I should note that we are very proud of our availability metrics across our regular lines, which, supported by our strong forecasting and replenishment systems, continue to ensure we are on time and in full for our customers. This year has also been important for its continued reach across channels.

We are not satisfied with the number of store openings, and have bigger ambitions on this front moving forward. The quality and impact of the two new stores and one reopening we have had is excellent.

With business-leading transaction levels for Kingston, and continued access to London infills with Wandsworth, we continue to gain confidence with the choices we're making on proposition, on flow, and on format. We've also had some strong refits, ensuring we are rolling out the tried and tested latest blueprint.

The high single-digit increases in St Albans we are now seeing year on year validates those choices. Finally, we continue to invest in stores that are not at the standard they should be, and later in the strategy update we'll discuss this more.

We are passionate about digital connectivity, not only because this is how our customers want to shop, but moreover because it's how our customers shop in the most effective way with us, helping them bring larger baskets with more frequent shops. Our app gives us 40% higher basket value than web-only customers, which is already ahead of store-only customers, and conversion through this channel is higher.

This year we've become more ambitious with our social channels, in particular TikTok and YouTube. However, whilst active, we firmly believe we can continue to grow these channels.

We have to acknowledge that sometimes we are followers. We are definitely not fast enough and weren't on the app, but as a business, when we move, we move.

We are delighted to have been one of the first launch partners with Google on conversational commerce in Europe through our AI-powered shopping assistant, which, if you're an iOS user, you can access now. The future is here.

We do pride ourselves on service, but there's a big prize for efficient service. We are now 85% of the way through our self-checkout rollout, with two thirds of our customers shopping in this way where it's an option.

As with all retailers, we have taken measures to combat shrink, whilst improving colleague safety, and are confident that these are working for us. It's nothing in isolation, but moreover prompts, triggers, cameras, tech, and people all in combination.

I did want to give a big shout-out to our made-to-measure offer, which has historically been the perfect combination of product and service combined. At the end of this year, we layered in technology through Salesforce, which has enabled us to enhance fitter availability and will support M2M's double-digit growth moving forward.

A lot going on this year, but I'll now hand over to Karen, who'll share the review of our numbers.

Thank you, Clo. As usual, I will take you through our financial performance for the year ended 27th of June, 2026.

I'll give you a summary-level overview, and will then go into more detail. As Clo said, we delivered a solid performance in FY26, with total sales up 3.1% to £1,825 million.

We delivered another strong gross margin performance, with a gross margin of 52.5%, up 10 basis points year on year. Net operating costs increased by just under 4% year on year.

Profit before tax of £211 million was flat year on year. PBT margin decreased slightly by 30 basis points, but remained strong at 11.6%.

Diluted earnings per share of 76.8 pence was flat on the prior year. We delivered another year of strong cash generation, with £155 million of free cash flow, £27 million higher than the prior year.

Operating profit conversion to cash was up from 57% to 69%, supporting a £7 million reduction in year-end net debt to £95 million. At the end of the year, our net debt to EBITDA ratio was 0.3 times, which is within our targeted range of 0.2 to 0.6 times.

The board has declared a final dividend of 28.5 pence per share, taking the full-year dividend to 45.5 pence per share, a progression of 2.2% on the prior year. We also paid a special dividend of 25 pence per share earlier in the year.

We delivered just over 3% total sales growth within a challenging macro backdrop. Now we've taken a slightly different approach to illustrating how sales grew.

As a truly omnichannel business, there is, of course, an overlap between store-enabled sales, which comprise sales from walk-ins, from in-store tablets, and from click-and-collect, and digitally-enabled sales, which comprise sales from home delivery, and also in-store tablet and click-and-collect sales. Store-enabled like-for-like sales were up just under 1%.

We further expanded the store estate, opening two new stores during the year, both in London, in Wandsworth and Kingston, and we reopened our Yeovil store, which had been closed following a fire. Digitally-enabled sales grew by more than 9%, and digital participation increased by a further 2 percentage points to 42%, leveraging the continued benefits of investment in our digital ecosystem.

The launch of the Dunelm app has strengthened our proposition, creating additional opportunities to deepen customer engagement and deliver a more connected shopping experience. We saw broad-based growth across categories, and heritage categories like textiles, with established authority, continued to underpin our sales growth.

Made-to-measure window treatments again delivered strong growth, demonstrating the value of our specialist expertise and the benefits of targeted investment in high-growth categories. The net result was that we continued to outperform the total homewares and furniture market, increasing market share by 10 basis points year on year to 7.9%.

We delivered another strong gross margin performance, demonstrating the consistency of our model over time. This year, gross margin of 52.5% expanded by 10 basis points, benefiting from a foreign exchange tailwind, partly offset by increased customer participation in promotional events through the course of the year.

We delivered to the cost plan that we set out at our interims presentation, and per my summary, net operating costs of £734 million were up 3.9% year on year. Volume-driven costs, primarily variable logistics costs and performance marketing expenses, have grown in proportion to the growth in digital sales, and added just under £20 million year on year to our cost base.

Inflationary pressures continued, driving more than £20 million of incremental cost. Wage inflation remained the most significant headwind, although it began to moderate in the final quarter of the year due to a relatively lower rate of National Living Wage increase.

We also experienced cost pressure in our supply chain from higher fuel costs driven by geopolitical events and increases in warehouse rental costs. We invested an incremental £10 million during the year, primarily in our store estate.

This was a combination of investment in new store renewals this year, a lower number than usual, partly offset by the annualized impact on cost of higher activity in the prior year. Productivity gains accelerated in the second half, as we said they would, delivering an incremental £15 million over the full year.

Savings were driven by operational improvement across the business, particularly labor optimization in stores, which was supported by the further rollout of self-serve checkouts, alongside efficiencies in carriage costs, logistics, and marketing. Other items contributed a year-on-year benefit of £10 million.

These included a £3 million increase in net operating income related to insurance receipts in respect of two store fires, primarily compensating for the associated loss of trade. Given the challenging backdrop, performance-related remuneration costs were also lower in the prior year.

We saw a benefit from business rates of about £1 million, which will provide an annualized tailwind into next year. In summary, we used productivity gains and other cost reductions to help offset upward pressure from volume-driven costs, ongoing inflationary pressures, and continued investment for growth.

Our net operating profit increased by £2.9 million year on year, but net financing costs were also up £2.9 million, driven by a higher lease interest charge, this year £10 million, prior year £7 million. Underlying interest costs remained broadly stable, in line with net debt levels throughout the year.

Profit before tax was £211 million, flat year on year. Profit after tax of £155 million was about £1 million lower than the prior year, reflecting an effective tax rate of 26.3%, 40 basis points higher than the prior year.

This was slightly higher than our historic average of around 50 to 100 basis points above the headline rate, and was largely due to an adjustment in respect of non-qualifying depreciation. Basic earnings per share was 77 pence, and diluted earnings per share was 76.8 pence, flat year on year.

Cash generation increased in the year. Operating cash flow grew by 5.7% to £270 million, benefiting from a £9 million working capital inflow and higher operating profit.

The working capital inflow was largely driven by lower inventory levels, partially offset by a corresponding reduction in stock-related payables. Capital expenditure of £43 million was in line with guidance, and lower than the prior year, which included investments in freehold property purchases and two small acquisitions.

During FY26, capex primarily related to £27 million invested in our store estate, and £13 million of tech-related capex, including investment relating to the build and launch of our app. The store investment related to the costs of opening two new stores, including significant work on our new Kingston store, seven major refits, and the continuation of our decarbonization program.

Lease liability repayments were £8 million higher year on year, primarily reflecting the expansion of the lease portfolio and the renewal of lease agreements. We generated £155 million of free cash flow, £27 million higher than the prior year, with operating profit conversion improving from 57% to 69%, supporting a £7 million reduction in year-end net debt to £95 million.

Total dividend payments in the period were £141 million. Just to note, the group also periodically makes share repurchases to hold in treasury to satisfy obligations under employee share schemes, and in the year repurchased £16 million of shares.

The board has declared a final dividend of 28.5 pence per share, taking the ordinary total dividend for FY26 to 45.5 pence per share, up 2.2% on the prior year, which is ahead of earnings and a mark of the board's confidence in the future prospects of the business. This was in addition to a special dividend of 25 pence per share paid in April, taking total dividends declared to 70.5 pence per share.

Our net debt to EBITDA ratio ended the year at 0.3 times, which is within our target range. To summarize, we delivered a solid financial performance, with growth in sales, market share, and gross margin against a challenging macroeconomic backdrop.

We mitigated the impact of inflation, invested in the business, and held profits flat. Our free cash flow generation was strong, allowing for that investment and increased ordinary dividend, and we paid a special dividend in the year.

Q1 trading has been mixed so far, with the start of the quarter significantly impacted by the extremely hot weather. However, more recently, with cooler weather and wetter weather, performance has normalized.

I'll now hand back to Clo to close this presentation. Thank you very much for now.

Thanks a million, Karen. That brings FY26 to a close.

We are very excited today to be sharing in our strategy session our customer-led plan to unlock the growth we know we can capture, and is summarized by our ambition to win hearts and homes. We'll do this by becoming the homewares specialist with something for everyone, delivering seamless omnichannel experiences that customers love, and transforming our capabilities to drive sustainable growth.

As we do this, we will make our business bigger, better, and bolder going forward. Thanks a million.