Blackburn-based catering equipment supplier Pentland Wholesale has produced a steady set of financial results for the 12 months to 31 December 2018.
Publicly available from Companies House, the annual report states that the wholesaler posted a turnover of £14.8m, 3% up on 2017’s £14.4m.
However, operating profit dropped by 29%, from £1.4m to £0.9m and gross profit margin slipped slightly from 28.3% to 26.6%.
The directors stated in the report: “Additional industry-related costs and a competitive market have caused a drop in margin, despite increased turnover.”
Looking ahead, they forecast: “The company has had a positive period with increased turnover, despite costs increasing at a faster rate. The focus for 2019 will be to increase sales further throughout the company.”
While group MD Chris Allen told Catering Insight: “The directors are satisfied with the performance of the business.”
Just before the reporting period, on 31 December 2017, Pentland Wholesale bought sister ventilation firm The Canopy Company from a further Pentland Group company, Acme Facilities Group.
Turnover of this subsidiary decreased by 14% from £0.90m to £0.77m in the 12 months to 31 December 2018, though gross profit margin climbed to 32.4% from 31.1%. Likewise, operating profit was up by 7% from £17.7k to £18.9k.
The directors analysed: “Trading performance has remained consistent in spite of lower turnover, margins have been maintained, reflecting a change in product mix.
“The directors are pleased with the continued progress of the company.”
