Online furniture retailer Temple & Webster has posted record sales and active customer numbers for FY24, going against the ongoing retail slump caused by the cost-of-living crisis.

The company’s revenue reached $498 million for the 12 months ended June 30, up 26 per cent compared to the prior year. The number of active customers also rose to a historic high of 1.1 million, representing a 31 per cent increase.

CEO Mark Coulter said the company bucked the slowdown caused by cost-of-living pressures, with revenue soaring in an overall market that was down 4 per cent.

Despite the surge in sales, net profit fell from $8.3 million in FY23 to only $1.8 million. The bottom line was dented by a write-down of the group’s investment in Israeli start-up Renovai, according to the Australian Financial Review.

Earnings before interest, tax, depreciation and amortisation were $13.1 million, at the top of the company’s guidance.

The retailer said it is now on track to reach its $1 billion-plus annual sales target and has started FY25 “strongly” with double-digit revenue growth.

“We continue to execute on our ambition of growing market share and establishing Temple & Webster as the go-to brand for the next generation of home shopper,” Coulter continued.

“We believe our strategic moats around range, being a top-of-mind brand, data and AI capabilities, low fixed costs and new growth plays will be firmly entrenched.”

The CEO added the company is well funded to execute its strategy with $116 million of cash on hand and no debt.

Temple & Webster has appointed Cameron Barnsley as its new CFO, effective September 2. He joins the company from Morgan Stanley, where he most recently served as executive director and head of technology in its investment banking division.