Upholstery manufacturing group Sofa Brands International has reported a decline in sales as all brands within the group experienced a downturn in revenues.
According to the latest filed accounts for the year ended 30 June 2024, total G Plan sales fell 18.4% to £40.7m from £49.9m in 2023. Pre-tax profit resulted at £980,000, improving from a loss of £364,000 recorded in the previous year. The company said that sales were impacted by a normalising market following the surge in demand post Covid, as well as a major customer switching its supply from the UK to Italy.
Parker Knoll saw revenues fall 20% to £28.5m from £35.8m, while posting a loss of £1.1m, narrowing slightly from £1.3m the previous year. The company said it was a “tough market”, although it had achieved an increase in floor stock presence in its main retail customers.
Meanwhile, Duresta reported sales of £3.8m, down 45% from £7m, but did narrow losses further from £756,000 to £343,000. The company said that the luxury end of the market was heavily impacted by consumer uncertainty.
As for The Lounge Co, total sales stood at £5.7m, down 21% from £7.3m, while pre-tax losses amounted to £1.1m, down from £1.3m. The company said that sales were down due to a “tough market” and the decision to switch its focus towards more B2B commercial opportunities. “The company will continue to sell its products online and in the London store, but is now expanding distribution with key retailers who have a need for a lower priced, more contemporary brand.”
Collins & Hayes reported sales of £1.2m, down 47% from £2.3m on the prior year, while losses increased from £112,000 to £344,000 year-on-year. The company said it was a “major transition” year for the brand. “The directors decided to relaunch the brand early in the year with a more contemporary, more colourful, and more competitively priced proposition.
“The existing range were discontinued and replaced with a new collection by the year end. This led to retailers gradually replacing stock and as expected, sales declined significantly whilst they did so. The brand transition has now been completed and the business is well positioned to grow again.”
Parent group behind Sofa Brands International reported a pre-tax tax loss of £12.6m, down from a loss of £15.1m recorded in 2023. Group sales stood at £73.3m, down 20.4% from £92.1m year-on-year.
