welcome-furnitureStronger margins and higher sales helped North Wales bedroom cabinet firm Welcome Furniture grow profits in the year to end March.

The Caernarfon based manufacturer lifted its gross margin by 90 basis points to 31.9 per cent which, combined with higher sales, helped lift profits.

Sales climbed 3.4 per cent to £12.3m* with profits rising 29 per cent at the pre-tax line to £897k. EBITDA rose 18 per cent to £1.4m.

The business generated a net £1.7m cash from operations and £403k overall as it cut year-end net debt to £1.5m. Shareholder funds at the balance sheet date totalled £1.7m (2013: £1.55m).

* turnover was restated in the prior year due to a reclassification of discounts and rebates from cost of sales to turnover. The amount involved was £499,521.