Focus away from ‘commodity’ leather helps Pittards increase profit
UK-headquartered leather group Pittards has reported an increase in profit for 2013 due to “tight control of costs” and a “lower proportion of commodity leather” sales.
It achieved a profit of £2 million for the year compared with £570,000 for 2012, although revenue dipped slightly to £35.8 million from £37 million the year before.
“I am pleased to report that the recovery noted in my interim statement, following the turbulence of 2012, continued throughout 2013,” said chairman Stephen Boyd.
He said high skin prices in early 2013 had made the company temporarily uncompetitive, but the mix of products sold during the year produced a higher gross margin. “This was achieved despite hide prices staying firm all year,” he said.
“The global trading situation looks brighter than it has since the recession and should provide many opportunities to grow the business and continue with our core strategy in the future.”
Headquartered in Yeovil, the company operates the ETSC tannery and glove-making facilities in Ethiopia as well as a UK-based production unit for the Pittards and Daines & Hathaway brands.
