Sales at IKEA furniture stores rose 4.5% in the fiscal year to August, helped by new store openings and rising online sales, franchisor Inter IKEA said today.
Growth was in line with the previous year as nearly flat sales at existing stores was offset by a 31% jump in online sales.
The world's largest furniture retailer saw total sales of goods and services reach €38.8 billion during the 12 months. In reported currencies, that was 1% higher than a year earlier.
Excluding new stores opened during the 12 months, sales growth in local currencies was also 1%.
"IKEA has seen continued growth despite a challenging and changing retail environment," Inter IKEA CEO Torbjorn Loof said in a statement.
The company said that online sales accounted for 5% of its turnover.
"We see that we have flattened out a bit on sales in existing stores while we have strong growth through expansion and online," Loof told Reuters.
The group opened 19 stores worldwide during the financial year, taking the number of IKEA stores to 422 in more than 50 markets.
IKEA unveiled a strategy shift last year towards also opening city-centre showrooms.
It is also investing in better services ranging from augmented reality apps to delivery and assembly, as competition grows and the appeal of its out-of-town warehouse stores dims on the back of the online shift.
IKEA stores are owned by 11 franchisees. The biggest one, IKEA group, has 367 stores in 30 markets.
