Sterling sees profits leap despite lockdown

Sterling Furniture Group saw profits leap in the past year, despite lockdown store closures.

Despite store closures hitting turnover, pre-tax profits leapt from £338,639 to £2.526m in the year to 28 February.

Sales dropped by 27% to £40m.

‘Despite the difficulties and challenges brought about by the pandemic, the group continued its strategy of providing “Everything to Furnish and Finish Your Home” with the sales offering constantly being reviewed and improved to ensure a comprehensive offer of home furnishing products and services are being offered and that customer service and customer satisfaction remain at the heart of the operation,’ says the company.

‘During the year the group invested in the refurbishment and conversion of its Thomson’s store in Dunfermline to the new concept “Sterling Home” format store. This store has traded well since reopening.

‘The pandemic has had a significant impact on the business over the year with all its stores having to close due to lockdowns for a combined period of five months over the 12 month period due to the restrictions imposed by government as a consequence of the coronavirus pandemic. The group was forced to review its operations and find savings and change processes to adapt to the changing circumstances.

‘When the stores reopened however there was pent up demand and trade in home furnishings was strong. The constraints on holidays and the move to home working has led to an uplift in like for like sales for the periods the shops were open. This helped make up for some of the lost turnover for the period closed.’

SterlingMar21

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