Dundee furniture maker JTC saw its profits squeezed in 2015 as it embarked on a restructuring process to consolidate its manufacturing on a single site.
The interior fit-out specialist has its head office and design centre function at Camperdown Works in Dundee’s Harrison Road and an ancillary manufactures base at Manhattan Works in Dundonald Street.
Newly filed accounts with Companies House show the group produced a pre-tax profit of £149,220 in the year to December 31, down from £440,075 a year earlier.
Turnover in the year took a significant hit, falling from £24.3m in 2014 to £18.9m last year.
In his report to the accounts, director Gordon Linton said current trading was “in line with the various markets serviced” and financial resources available were suitable for the group’s needs.
Mr Linton said the 22% reduction in overall group turnover compared to 2014 corresponded with a 26% fall in distribution costs and a 19% drop in administrative expenses and reflected the restructuring involved in moving manufacturing to a single site.
“As part of the restructuring process, a new warehouse has been constructed at the company’s main factory with construction starting late in 2015 and reaching completion in summer 2016,” Mr Linton said.
“This has been financed partly from the company’s own resources and partly through a bank term loan.”
The accounts show the company’s headcount fell during 2015 to 242 from a monthly average of 282 the previous year.
The group is controlled by the Chalmers family via loan notes and their preference shares in the company.