Turnaround plan puts United Carpets back in the black
The closure of a string of branches helped United Carpets return to profit in the six months to the end of September. After slumping to a loss of £4.1 million in the equivalent period in 2012, the company reported profits of £312,000 for the second half of its trading year in 2013.
The profit came despite a fall in revenue in the second half, dropping from £11.3 million to £10.3 million, as the firm stripped back its cost of sales. Network sales, including the income from franchisees, fell from £34.9 million in 2012 to £28 million for the same period this year.
That included the removal of more than a quarter of its stores, leaving it with a rump of 60 branches at the time of its most recent report to the market.
Chief executive Paul Eyre said: "These results should give shareholders increasing confidence in the future of the business.
"The restructuring programme, begun last year and continued into this year, has reduced the number of stores to 60, down from a peak of 86 stores, removing those which were no longer viable.
"As a result the business is in a much better position with which to operate successfully in what continues to be a challenging market."
United Carpets has a string of stores in the region, including in Shrewsbury, Wolverhampton, Cannock, Brownhills, and Wednesbury.
