UK sales continued to fall for Chinese sofa conglomerate Man Wah Holdings, the group that houses the Cheers upholstery brand, despite recording a substantial growth within the rest of its international markets.
According to the latest full year trading review for the year ended 31 March 2016, sales of Man Wah products in the UK declined by 18.2%, mainly due to a challenging economy.
Alongside the slump in UK performance, sales from European nations outside the UK also fell by 13%, as the group suffered from the lower euro-dollar exchange rate.
Elsewhere, the group highlighted a growth of 2.4% in the North American market, while in its home market of China, sales ‘maintained a satisfactory growth’ despite challenging conditions, as total revenue grew by 26.4%. Overall group sales were up by 11.8% to HK$7.327bn from HK$6.554bn in 2015, with end of year profit growing to HK$1.339m.
Attached within the report the chairman, Wong Man Li, stated: “The Group has overcome lots of difficulties during the Review Period. Satisfactory sales growth has been maintained by strengthening the marketing promotion efforts.
“In European market, the performance of European countries was mixed in 2015. The exchange rate of the Euro against the US dollar was still at a low level, showing that the growth was still sluggish.”