Grantham-based upholstered furniture manufacturer The Quality Furniture Company (QFC) has reported a growth in profit despite turnover declining.
According to its latest filed accounts for the year ended 31 December 2015, pre-tax profit swelled by more than double to £841,000 from its recorded pre-tax profit of £385,000 last year.
QFC indicated that operating margin edged up from 1.5% to 2.2%, whilst net debt fell from £2.1m to £0.7m, resulting from strong cash flow.
During the period under review, QFC made the decision to discontinue business with IKEA and Tesco, which consequently played a part in the group’s turnover decline of 13% to £33.1m for the year – down from £38.1m.
QFC also confirmed that the company strengthened its directorial team during the period, with the appointments of Rachel Chadwick, taking on the role as director of marketing, and Andy Taylor in the position of director of engineering, back in April 2015.