Glaswegian independent furniture retailer Forrest Furnishing has posted a monumental profit surge after the sale of one of its showrooms was completed.
According to its latest filed accounts for the year ended 31 December 2015, the sale of its Macdonald Furniture Galleries showroom on Glasgow’s Cathedral Street returned a gain of £3.4m, which was finalised in October last year and has now been demolished in preparation for new student accommodation.
Forrest, which has been established since 1972 and has its other showroom located on South Street, reported a 7.3% growth in turnover to £8.8m from £8.2m in 2014, while also improving gross profit by 5.5% to £3.8m to £3.6m.
Operating profit registered an uptick of 6.2% to £204,111, while pre-tax profit for the year under review resulted at £3.6m, significantly up from its profit of £181,123.
Forrest revealed that during the year it invested a ‘considerable sum’ in expanding its South Street showroom as it held a two-month closing down sale at its other store, while also confirming that the ‘majority’ of staff had transferred to the remaining showroom.
Commenting within the report, Forrest said: “Trading profit for the year was £204,112, slightly up on 2014. Sales booked in the first four months of 2016 for Forrest Furnishing Showroom are 41% ahead of 2015, which is a very satisfactory situation.”