Furniture wholesaler Birlea has reported a decline in sales and profit.
According to its latest filed accounts for the year ended 31 October 2022, total sales fell 19.8% to £18.2m from £22.7m in 2021. This marked a second consecutive year of declining turnover when sales fell 3.8% from £23.6m in 2020.
Pre-tax profit resulted at £0.9m, down from its profit of £3.5m recorded the previous year. Gross profit margin has decreased to 31.2% from 37.1%.
Stated within its report, the company said profit had decreased due to a combination of difficult trading conditions, increased shipping costs and unfavourable foreign exchange movements.
“Although performance has declined in the year, the company is still making a considerable amount of profit and net assets remain strong (£10.7m),” Birlea said.
Looking ahead, Birlea added that accounts show an ‘extremely encouraging position’ with both turnover and operating profit ahead of 2022 and also ahead of budget.