The parent company of bed manufacturer Hypnos, Keen & Toms Holdings, has reported a growth in sales although losses widened.
According to its latest filed accounts for the year ended 26 June 2021, total sales rose 10.7% to £60m from £54.2m in 2020.
UK sales rose 11.2% to £55.6m from £50m, while outside the UK revenues increased 15.7% to £4.4m from £3.8m year-on-year.
Gross profit increased from £21m to £23.5m, while pre-tax losses resulted at £1.1m, widening from its loss of £613,000 the previous year. On an underlying basis, turnover stood at £72.2m, with a pre-tax profit of £1.6m.
Stated within its report, the group, which owns the Hypnos and Keen & Able brands, said that Covid hampered its ability to achieve budget revenue, while at the same time experiencing record demand for its products and services.
“Sales intake was significantly up in all three businesses on the prior year,” the company added. “Demand for the groups products and services remained very strong throughout the year as we continued to build on our product innovation and environmental and sustainability credentials.”
Despite this, the business said it ‘struggled to keep up with demand’, citing raw material shortages and an ‘unpredictable’ supply chain as main factors, which also impacted profitability.
Within its divisions, bed manufacture Hypnos posted sales of £31.4m, flat on the previous year, with a profit of £739,000 (improving from a loss of £823,000 in 2020).
Meanwhile, Hypnos Contract Beds, which supplies hotels and hospitality properties, reported sales of £23.7m, up by 30.9% from £18.1m. Losses amounted to £1m. As for its logistics division, Keen & Able, turnover increased 47.2% to £8.1m from £5.5m, while losses also stood at £1m for the period, with the company experiencing issues with supply of vans as the global chip shortage impacted its ability to procure appropriate vehicles.