Furnishings brand Neptune has reported a surge in profit as sales remained strong despite a slight decline.
According to its latest filed accounts for the year ended 30 September 2025, total sales fell 1.9% to £59.2m from £60.4m in 2024.
UK sales fell to £51.9m from £53.1m, while outside the UK revenues remained flat at £7.2m.
Pre-tax profit amounted to £4.3m, significantly improving from £345,000 recorded the previous year.
Stated within its report, the company said: “FY25 marked a significant step forward for Neptune and its journey towards long-term, sustainable profitability. UK trading conditions remained challenging but against this back drop, Group turnover remained stable at £73.0m whilst a number of business wide transformation improvements delivered a marked shift in profitability.
“Gross margin increased to £44.7m or 61% of revenue representing a three percentage point increase vs FY24. FY25 saw a deliberate reduction in low margin promotion led sales in order to sustain our brand’s aspirational positioning. The reduction in promotional sales was offset by new channel opportunities secured in FY25, such as a partnership with John Lewis which launched in Q4 and is set to grow further in FY26. The business also successfully launched a new CRM platform to allow us to better serve our customers on their buying journeys with Neptune.
“Furthermore, the business was able to leverage its deeply integrated supply chain to convert supply chain efficiencies to profit. This was further enhanced by an investment to refresh its owned delivery solution during the year, enabling an evolution in the vehicle fleet composition to better serve our customers.
“The success in FY25 towards sustainable profitability has not been at the cost of our brand, core principles or customer proposition the heart of this is our sustainability agenda and FY25 saw further progress in this area. The business launched a lifetime guarantee, likely unmatched by our competitors and illustrates the confidence in the quality of our products.
“The business also launched Neptune ReNewed – a platform to enable much loved Neptune products to be refreshed so as to support a more circular economy and a testament to the quality of materials used in our products.”
