Furniture manufacturer and wholesaler Finsahome has significantly narrowed its losses as turnover accelerates, cementing the foundation for further growth.

According to its latest filed accounts for the year ended 31 December 2015, total sales grew by 50% to £1.5m from £1m in 2014. Gross profit registered an uptick of 62.9% to £567,000 from £348,000.

The company, which is part of the Spanish Financiera Maderera group – also owned by Spain-based Fincorporativa SL, posted an overall loss of £22,000, significantly reduced from its loss of £168,000 last year.

Specialising in kitchens and flooring, Finashome has two UK outlets in Birkenhead and Birmingham, with both stores generating consistent growth. The company expects to enter profitability in 2016 and is also considering expanding its store presence, with the aim of opening one this year.

Commenting within its report, Finsahome said: “The results achieved are a fair reflection of what the directors expected for the year given the increased turnover. The company is well positioned at the end of the year to compete successfully in the coming years.”

Finsa Group, which has been established since 1931, has 13 factories across Europe, as well as 18 sales operations offices, and reported sales of €816m in 2015.