Homewares retailer Dunelm has reported sales growth of 11.6% to £126.7m for the 13 weeks to October 2.
In an interim management statement released today, the company said like-for-like sales had increased by 2.1%, an encouraging growth "given the context of an exceptionally strong performance in the comparative period last year", when like-for-likes rose 15.4%.

Sales were boosted by the continuing roll out of Dorma centres within new and refitted stores, said Dunelm, as well as significant expansion of the kitchenware offer.

The rate of growth has slowed to 100 basis points for the quarter, although gross margin has continued to increase year-on-year.

Three new superstores were opened during the period, including the relocation of the Hereford store. Dunelm now trades from 96 superstore locations in the UK, with a further five openings anticipated in the second quarter.

Chief executive Will Adderley said: "We remain cautious about the UK consumer environment, but are encouraged by the strength of trading over the first quarter and we are pleased with our pipeline of new store openings."

Last month, the company reported an 18.2% increase in sales and a 46% jump in operating profit for the full year ended July 3 2010.