Sales slightly down at independent retailer

Two-store independent furniture retailer Vale Furnishers has reported slight decline in sales as turnover dipped below £9m.

According to its latest filed accounts for the year ended 31 July 2023, total sales fell 3.7% to £8.6m from £9m in 2022.

Pre-tax profit resulted at £404,000, down from £1.3m recorded in the previous year.

Stated within its report, Vale Furnishers, which operates stores in Ash Vale and Farnham, said: “The company continues to develop in line with the expectations of the directors and has performed well despite difficult trading conditions.

“Turnover has decreased which is disappointing following on from the growth last year. However, the directors are happy with the current strategy and product range, and believe performance will improve in the financial year to 31 July 2024.

“Trading margins remain under tight control, with management focus being on controlling administrative expenses as well as continued improvement in stock management. However, despite this, administrative expenses have increased in July 23 versus July 23. Operating profit has decreased from £1.37m to £0.37m.

“At the year end the company had net current assets of £7.99m which is a marginal decrease versus the previous year (2022: £8.64m). Net assets of the business have increased from £20.08m to £20.34m which shows a strong balance sheet able to support future business growth.

“The company will continue to try maintain their market share and has plans to develop the site from which the main trade is operated to offer greater customer opportunities to improve the company position in the market.”

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