£m and % sales
EBITDA has declined modestly this year as a result of Worldstores losses, higher depreciation from recent investments and wage inflation. We are focusing on improving operating leverage and this measure is expected to improve in FY19.
Why this measure is important
EBITDA is a good indicator of the cash generation capability of business operations before working capital and capital investment decisions. It is important to monitor to ensure that Dunelm maintains its operating cost leadership position.
* EBITDA is presented before exceptional costs