A return to “tried and trusted processes” helped Dundee manufacturer JTC Furniture Group return to profit last year.
The company, which manufactures and designs furniture for domestic and business customers, saw its turnover jump by more than £800,000 to £20.2 million for the year ending December 31.
It recorded a pre-tax profit of £428,000, recovering from a £260,000 loss in 2016.
The group is based in the former Timex factory at Camperdown Works in Harrison Road.
It has a secondary manufacturing unit in the Manhattan Works complex on Dundonald Street.
In his report to the accounts, joint managing director Gordon Linton hailed the “significant improvement”.
He said: “2017 was an improved year. The return to tried and trusted processes to get the business back on track resulted in a return to profit showing a significant improvement over the previous year.
“The financial resources available are suitable for the group’s needs.
“Turnover has increased by 4.3% compared to the previous year.
“The gross profit percentage increased to 31.7% (2016 – 28.9%) with distribution costs reducing by 0.5% offset by administrative expenses increasing by 5.1% resulting in the overall improvement of profit.
“Working capital has increased by £93,100 over the year to stand at £4,124,000 while liquid funds have increased by £359,000 to stand at £1,116,000 at the year end.”
Mr Linton highlighted the uncertainties of Brexit as a risk to the firm going forward.
“Common to most manufacturers, a moving marketplace and the movement to source goods from outwith the EU are principal risks and uncertainties facing the group,” he added.
The group had an average of 261 employees in 2016, with 164 involved in the joinery manufacturing process and the remainder in sales and administration.
JTC remains in the control of the Chalmers family, who founded the business in 1986.
rmclaren@thecourier.co.uk