Professional kitchenware supplier I Grunwerg said “fluctuating costs” and “intense competition” were partly to blame for a decline in turnover of almost £700,000.
Sales for the year to 30 April 2017 reached £9.06m, a reduction of around 7% on the previous year when it generated £9.76m, according to its latest accounts.
The company, which is renowned for selling brands such as Global and Pioneer, as well as a wide range of servingware, tableware and knives, said that trading conditions “remain challenging”.
As well as costs and competition, it noted that adverse exchange rates had also impacted sales growth.
Directors of the firm acknowledged the pressures that the business faces but said that Grunwerg’s wide customer and supplier base meant that it was not too dependent on particular parties for revenue.
In their review of the business, the directors said: “As always, the company’s established strength in terms of its wide supply and customer base and large product range helped to see it through this difficult period,” they said. “Our policy of continuous product development and innovation, together with an expected improvement in economic conditions gives us confidence that we will be able to enhance our sales performance and market position in the future.”
Gross profit at the company slipped slightly from £4.7m to £4.2m during the year, while pre-tax profits amounted to £360,000 versus £327,000 the year before. The profit figure does not include the £2.9m it made from the sale of freehold land.
Grunwerg has been trading for more than 70 years and is synonymous with Sheffield silverware.