Furniture retailer Anglia Home Furnishings Ltd, trading as Fabb Furniture, has reported a decline in sales as losses widened.
According to its latest filed accounts for the year ended 31 March 2024, total sales fell 17.2% to £34.9m from £42.2m in 2023.
Pre-tax losses resulted at £3.5m, widening from a loss of £1.7m recorded in the previous year.
Stated within its report, the company said: “Highly competitive market conditions and consumer demand adversely affected by cost of living increases formed the back drop of market conditions for the year ended 31 March 2024.
“These market conditions contributed to decreased turnover for Fabb Furniture of £34.9m compared to £42.2m the prior year.
“Reduced freight costs resulted in an improved gross profit margin of 51% compared to 44% for the prior year, partially mitigating the impact of the decreased turnover with gross profit of £17.9m down £0.9m, or 4% over the prior year.
“Distribution costs reduced £0.4m due to the reduced turnover and administrative expenses reduced £0.3m due to management action to reduce costs in light of the tougher trading conditions.
“The prior year included other non-recurring income of £1.5m being the premium received to early surrender a lease to the landlord who wished to redevelop the site.
“The store estate had one additional store at Nottingham in the year. The Company took the decision in the year not to extend the lease at Gloucester.”
In the last quarter of the year the owners of the business commenced a process to dispose of their ownership of the business. In May 2024 the Nick Scali Limited, a listed Australian furniture retailer, acquired a 100% ownership interest in the business.
The acquisition strategy of Nick Scali Limited is to leverage its existing supplier network and differentiated high quality product range to improve both turnover and gross profit margin.
In the 2025 financial year Nick Scali Limited has commenced refurbishment of stores within the Fabb store network and deployment new product ranges into the stores.
“It is expected that initially turnover will be disrupted due to store closures for refurbishment, however the benefits of the investment will yield results by the end of the 2025 financial year,” the company added.
