British furniture company Timothy Oulton has reported a decline in sales while losses widened.

According to its latest filed accounts for the year ended 31 December 2020, total sales fell 10.6% to £5.9m from £6.6m in 2019.

Gross profit reduced from £3.5m to £2.3m, while pre-tax losses resulted at £1.9m, widening from a loss of £950,000 the previous year.

Stated within its report, the company said the decrease in sales was driven by the UK business focusing more and growing its retail channel, as opposed to wholesale.

Furthermore, the business has continued to increase its presence on the UK high street by opening two new showrooms in London and one in Liverpool. Alongside global growth, 2021 performance has delivered record breaking sales for both UK and overseas markets.

Earlier this year, the company placed its subsidiary The Sofa Workshop Limited into administration despite an encouraging start of ownership when the brand acquired the business back in 2020. “The administration of The Sofa Workshop Limited will enable the company to focus on its core activities and continued growth of the Timothy Oulton brand,” the business said.