Quiet improvements made at Whispering Smith

CLOTHING importer Whispering Smith witnessed a turnoaround in its fortunes in the year to March 31 as it reversed a £736,000 pre-tax loss last year into an £828,000 profit.

The company, which supplies clothing ranges to a number of high street fashionwear retailers including the Arcadia Group, Dorothy Perkins, Burton, River Island and spanish retail chain El Corte Ingles, also saw its sales climb 10% TO £52.4m during the period.

The Manchester-based business rebranded last year from its previous name of Rajan Group. It was founded by Krishnan Kumar, father of its current directors Rajan and Sanjay Kumar.

Accounts state that the firm, which also has some property interests, worked on ethical sourcing initiatives and improving quality standards. It said that improved links with quality liason officers at suppliers in China and India had helped to “strengthen customer relationships, reduced pressure from competitors and increased turnover” during the year.

The company said that it was unaffected by the collapse of a major customer and that its margins improved – partly as a result of stronger negotiationg but also through greater stability in currency.

A directors’ note accompanying the accounts said: “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.”