Australian furniture company Nick Scali has upgraded its revenue forecasts since its most recent trading update, as expansions to its network of stores and a successful acquisition bear fruit.

First-half revenue for the financial year 2026 is expected to increase by 10 to 12 per cent on the same period last year, an increase from the previously expected range of 7 to 9 per cent.

Net profit after tax (NPAT) is now expected to fall within the $37 million to $39 million range, an upgrade from $33 million to $35 million.

Amid declining revenues in the 2024 financial year, Nick Scali acquired Fabb Furniture in the UK. The decline had slowed by the first quarter of the current financial year, during which revenue increased by 6 per cent.

Nick Scali shares jumped 8 per cent on the ASX on Monday, following the improved financial outlook.