Flooring group rolls out the red carpet for its full-year figures

Floorcoverings group Victoria has revealed it has doubled its profits, just a month after it began consultations on shutting its Kidderminster factory with the loss of 66 jobs.

The move is part of a reorganisation of its UK production and is expected “to drive further incremental margin uplift” by improving production efficiency and customer service.

Victoria’s executive chairman Geoff Wilding said: “2018 will be another positive year for Victoria as we have widened our market exposure, both geographically and by product range and our recent internal reorganisation will provide further revenue and margin growth.

“Although we have already more than doubled EBITDA/Revenue margins over the last four years, the Board feels that we can drive our expanded business even further.”

Pre-tax profits doubled to £18.8m in the year to April 1 on the back of revenues increasing by 29% to £330.4m.

“2017 was another good year for Victoria and we look to the future with confidence,” said Wilding. “We further increased our operating margins, completed four earnings-accretive acquisitions, which are performing well, and we strengthened our management team even more with the key appointment of Philippe Hamers as CEO.”

Hamers joined Victoria in March, bringing 25 years’ experience in the flooring industry to the company. Most recently, he headed Europe’s largest carpet manufacturing operation at Balta Group.

Wilding highlighted “two incredibly valuable assets that are not tangible” – its management team and its relationships with customers.

He quipped: “Shareholders will, I’m sure, be reassured to learn we avoid hiring pure MBA-types (excepting, possibly, to make tea).”