Floorcoverings supplier Headlam has reported a slight fall in full year sales while profit increased.
According to its final results for the year ended 31 December 2022, total sales slipped 0.5% to £663.6m from £667.2m in 2021. Underlying pre-tax profit resulted at £37.1m, up 3.6% from £35.8m year-on-year.
Headlam said that gross margin was ‘steady’, with the benefit of price increases offset by reduced proportion of revenue from higher margin residential sector due to impacts of the UK cost of living crisis.
The company added that 26% of sales are now coming from digital channels (2019: 11%), and it has made further digital enhancements to this channel.
Commenting, Chris Payne, Chief Executive, said: “Despite very challenging industry headwinds in the year, most notably the UK cost of living crisis and significant operational cost inflation, revenue was maintained and profit improved against 2021. So far in 2023, revenue performance is slightly ahead of last year despite a continuing weak residential sector.”