Heritage soft furnishings company Plumbs slipped to a seven-figure loss in 2014 but says restructuring work has left it well placed it meet its challenges face on.

The made-to-measure loose furniture covers, curtains and reupholstery business says it has responded to changing customers requirements by restructuring to enable faster response and delivery times.

It said the decisions had a negative effect during 2014—when it slipped from a 2013 pre-tax profit of £252,705 to a loss of £1.2m—but had given directors increased confidence in the future.

Plumbs’ costs during 2014 included £414,888 in exceptional items, including redundancy payments as part of its restructuring work, while total gains and losses were additionally impacted by a £1.6m actuarial loss on its pension scheme.

The company’s pension deficit widened to £2.1m (2013: £861,000), as a result of a circa £2m uplift in the value of its defined benefit obligation to £16.6m. The scheme’s assets increased to £14.5m (2013: £13.8m).

Revenue at the privately owned Preston firm—which can trace its roots back more than 50 years—fell 4.2 per cent to £26.1m year-on-year. Year end net cash declined to £883,797 (2013: £1.3m).