Upholstery manufacturing group Sofa Brands International has reported a decline in sales as four of its core brands within the group experienced a downturn in revenue.
According to the latest filed accounts for the year ended 30 June 2025, total G Plan sales fell 12% to £35.8m from £40.7m in 2024. Pre-tax profit resulted at £1.4m, improving from £980,000 recorded in the previous year.
“Sales continued to decline in the year due to market conditions and the loss of a major customer,” the company said. “The Directors concentrated on controlling costs and aligning capacity to lower demand. With an improved margin and reduced overheads, the company improved its profitability by 44%. The outlook for G Plan is positive with plenty of opportunities to further strengthen performance in the years to come.”
Parker Knoll saw revenues fall 14.7% to £24.3m from £28.5m, while posting a loss of £5m, widening from £1.3m the previous year. The company said: “Turnover continued to decline despite increasing the floor stock presence in the main retail customers. Despite this, manufacturing efficiencies and cost control resulted in the gross margin being only 4% lower than the prior year.
“The financial performance has been impacted by the write off of an intercompany balance that was deemed irrecoverable. If this had not happened, the operating loss would have been comparable with the previous year, which the Directors are satisfied with, given the fall in turnover.”
Duresta reported sales of £4.2m, up 10% from £3.8m, while also narrowing losses further from £396,000 to £62,000. The company said: “The Directors are pleased with the financial results for the year. As a result of doubling retail display models in the previous year, turnover increased. An improvement in gross margin % and lower overheads resulted in a dramatic improvement in profitability.”
As for The Lounge Co, total sales stood at £3.3m, down 42% from £5.7m, while pre-tax losses amounted to £733,000, narrowing from its loss of £1.1m. The company said: “Sales for the company continued to fall as the company continued with the strategy to move away from B2C selling. The company continued to sell its products online and in the London store but expanded its distribution with key retailers.
“As a result of this the margin was lower than the previous year but significant savings were made to overheads leading to an improvement in profitability. The company will continue its transition to a multi-channel brand over the next 12 months.”
Collins & Hayes reported sales of £596,000, down 50.3% from £1.2m on the prior year, while losses increased from £344,000 to £1.3m year-on-year. The company said: “Despite the relaunch of the brand in the previous year, turnover continued to decline. Since the year end the Directors have made the decision to cease further support of the brand for the immediate future. Due to this decision, an impairment review was carried out for the trademark which resulted in a write off of £0.8m in the year.”
Parent group behind Sofa Brands International reported a pre-tax tax loss of £12.1m, compared to a loss of £12.6m recorded in 2024. Group sales stood at £63.6m, down 12.9% from £73.3m year-on-year.
