Westco sees profits drop after 7% sales fall
Flooring distributor Westco saw profits drop in the previous financial year after sales dropped by 7%.
The company saw sales drop by £991,000 to £14.025m in the year to 31 January.
Pre-tax profits fell from £842,000 to £809,000.
‘During the year under review market conditions remained challenging with the impact of fragile consumer confidence and the foreign exchange uncertainties. Despite the background and a drop in activity, profitability has continued. The year-end financial position is considered satisfactory,’ said the company in the account’s strategic report.
‘The group will continue with its endeavours to widen the customer and product base an look for new opportunities within its market sector. Management initiated a vigorous cost cutting programme in the year, which is ongoing, but recognises it will invest in training and new equipment during the next year to maintain operational efficiency.’
No dividend was paid, repeating the situation of 2106. Director’s salaries fell from £450,000 to £413,000.