Blueheath has announced the fifth successive annual loss since its formation, but directors say they are confident a cost-cutting operation currently under way will bring the company into profit this year.
Losses before exceptionals for the 53 weeks to March 4 were pound;4.9m, compared with pound;5.8m the previous year, but turnover was up 89% to pound;132.3m. The additional turnover was partly due to the purchase of CTM Wholesale and AC Ward Sons, as well as new business wins.
The company has already carried out integration work at CTM and AC Ward to reduce their operating costs, and said it had now identified further ways in which costs could be reduced.
The major impact of this will be the closure of the warehouse the business first operated out of in Tamworth, consolidating business into warehouses at Thurrock and Wrexham, which were acquired with AC Ward and CTM respectively. l For more about management changes at Blueheath see page 14.