Ikea’s sales took a hit in 2024 as the flat-pack furniture seller lowered prices in a bid to remain affordable for its customers.

The Swedish furniture giant’s sales fell 5.3% to $49.34 billion in the 12 months to Aug. 31, after lowering the prices of its goods to encourage shoppers into stores.

IKEA annual sales fell 5% after the Swedish budget homeware retailer cut prices in a bid to attract more shoppers and maintain its share of a shrinking home furniture market, but it expects a recovery next year.

Ikea reported Thursday that its annual sales fell in value after the world's biggest furniture retailer lowered prices to revive traffic at its online and brick-and-mortar stores.

In an escalation of the bidding war for Tritax Eurobox, the commercial landlord snubbed Segro and backed a new £1.1bn offer from Brookfield Asset Management.