Sales rise but Whispering Smith Group in the red

FASHION clothing supplier Whispering Smith Group grew sales, but racked up a loss off £400,000 in the year to the end of March.

The Manchester-based company, owned by brothers Rajan and Sanjay Kumar, designs, sources and supplies knitwear and other clothing to fashion retailers such as Burton and River Island..

In the year to March 31 the group grew sales by 3.2% to £54.1m, but posted a loss of £400,000 having made a profit of £800,000 in 2010.

Known until a rebranding exercise in 2008 as the Rajan Group, Whispering Smith has offices on London, Hong Kong, Dusseldorf, Madrid and New York as well as its base on Ducie Street, Manchester. It employs around 140 people.

In their review the Kumar brother say: “The directors continue to focus and invest in quality, ethical and service standards. Developments within the group have created stronger links with quality control and audit liaison offices in China and India, which have enabled is to achieve the standards required by the company and its customers.

“This has helped strengthen customer relationships, reduced pressure from competitors and increased turnover.”

Looking ahead they add: “The commercial environment is expected to remain competitive as clothing retailers continue to pressure their suppliers on price whilst maintaining quality and standards.

“However the directors remain confident that the group will maintain the current level of performance in the future.”

At the end of March shareholders’ funds were £30.8m compared with £31.7m the year before.