Kitchenware firm continues to battle against tough trading conditions

Kitchenware firm Procook saw revenues fall last year as the company continues to battle against challenging economic conditions.

Total revenues fell by 3.8 per cent to.£26.3m at the Gloucestershire based company.

Procook enjoyed a hugely successful period during the pandemic as more people spent time in their homes and the hospitality sector largely closed down.

But according to its latest interim results like for like revenues declined by 4.4 per cent over the year after a volatile first half in difficult trading conditions,

Gross profit margins significantly following the unwinding of heightened costs with marine freight costs returning to pre-pandemic levels

The company had an underlying loss before tax of £1.7m, an  improvement of 39.5 per cent driven by stronger gross margins and ongoing cost discipline

In the first eight weeks of the second half, including Black Friday and the early part of Christmas trading, total revenue was  up slightly.

Retail stores continue to perform well with and saw total revenue growth of 10.7 per cent year on year supported by the opening of Trafford Centre and Watford stores.

Trading conditions remain challenging and volatile and the board remains cautious about the timing and pace of market recovery.

Newly appointed chief executive Lee Tappenden said: “Whilst the consumer macro backdrop remains challenging, we are pleased to have delivered a robust Black Friday campaign and an improvement in recent trading, as we enter the important pre-Christmas trading period.

“I am delighted to have joined the business, with its strong foundations as a specialist retailer with a differentiated model and high-quality products providing a firm base from which to build brand awareness and expand the product range and store portfolio.

“Whilst we remain cautious about the timing and pace of market recovery, we are confident in our proposition and are making good strategic progress in building a stronger customer-focused business ready to accelerate growth as trading conditions improve and deliver profitable and sustainable growth for all stakeholders.”