Furniture maker sales decline due to Covid impact

Kitchens, bedrooms and bathroom furniture manufacturer JT Ellis has reported a decline in sales as well as a loss.

According to its latest filed accounts for the year ended 30 June 2022, total sales fell 6.7% to £18m from £19.3m in 2021. Pre-tax losses resulted at £2.2m, down from a profit of £448,000 recorded in the previous year.

Stated within its report, the company said the decline in performance was due to the impact of the Covid-19 pandemic and longer-term economic impacts.

Gross margin has reduced from the impact noted above to 24% from 30%.

“The company maintained a tight control over overheads but has increased due to a number of factors to 37% of turnover (up from 30%), which is a reflection of the post lockdown environment where the company retained certain costs unsupported by government measures,” the business added.

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