Stax enjoys Supa sales

STAX Trade Centres performed “above expectations” in 2011 as it grew pre-tax profits by 24% to £2.6m.

The Worsely-based company, which now operates five trade warehouses selling building, homewares, furniture and gardening equipment, also grew sales by 4% in the year to August 27 to £95.8m (2010: £92.4m).

The company, which is owned by joint managing directors David Hibbert and Eddie Brady, said the sales improvement was “achieved through tremendous team effort”.

Writing in the accounts, Mr Hibbert cited ongoing expansion of its product range – particularly through the development of its own brand, Supa – and its investment in more management resources for driving the business forwards.

Some £1.4m of the revenue was also contributed by DF Wishart – an Edinburgh-based DIY wholesaler with a turnover of £7m which was bought in June 2011.

“By acquiring DF Wishart & Company, we aim to strengthen our delivered business and help support extra business that has resulted from the recent growth of the garden centre business,” he said.

Stax also sold its former 53,000 sq ft base in Worsley during the year for £1.75m. The site had been empty since the company moved into a nearby  £11m, 100,000 sq ft warehouse and headquarters in 2009.

The company added a Stax Edinburgh depot to its network of outlets in September, and has continued to develop an online store so it eventually sells its entire in-store range.

“Despite the economic climate, we have maintained tight control over overhead costs where possible,” said Hibbert. “Credit customer business continues to grow, however trade debtors remain under tight control as do stock levels.”