A Dundee manufacturing firm is focused on further growth after its sales rose by more than £4 million.
Ravensby Glass started out in 1985 as part of Tayside Windows and was acquired nine years later by Malcolm, Ogilvie & Co, whose roots in manufacturing in Dundee go back more than 170 years.
Now it is a major employer and has two factories in Dundee’s West Pitkerro Industrial Estate.
Accounts show the firm’s turnover increase to £21.1m during the year to October 2022 – a record high for the company and an increase from £17.3m the previous financial year.
The rise was attributed to the lifting of all Covid-related restrictions.
Chairman Nicholas Cunningham explained more in his strategic report published alongside the accounts.
He said: “The increase in turnover is accounted for primarily by having had the ability to revert to fuller trading following the suspending of all manufacturing activity throughout a significant portion of the previous period under review on account of the coronavirus pandemic.
“Strong commercial and domestic glazing market sales were achieved following the reversion to routine trading.”
Profits down at Dundee’s Ravensby Glass
However it recorded a pre-tax loss of £75,180, compared to profits of £602,284 in 2021.
Its operating profit was also down to £37,558 from £650,746 the previous year.
Mr Cunningham said that was due to increased costs in materials.
He added: “The operating profit achieved is greatly reduced from the previous year.
“This is accounted for by very much tighter raw materials costs, an increase in energy consumption and a significant increase in bad debts experienced, with an additional £163,000 being incurred.”
As a result, Mr Cunningham said the firm has consolidated its operations into one site “in an endeavour to moderate the effects of continually pressured margins as well as significant energy increases to be faced in 2023.”
The firm’s accounts also showed there has been a seven-figure rise in its wage bill. It was £5.6m for the year to October 2022, up £1m from £4.6m the year before.
Staffing numbers have remained consistent, with 144 employees in production roles and 31 working in administration and selling jobs.
Mr Cunningham said: “The directors remain committed to growing an encouraging the staff and workforce through continuous development and focused training.”
‘Future growth opportunities’ for Dundee firm
His report adds the firm invested in new equipment during the financial year covered by the accounts.
He said the directors would continue to monitor further investment opportunities as they arise.
Mr Cunningham said: “The directors remain confident that future growth opportunities exist for its glass products.
“They will advance to focus on that sector of opportunity for the foreseeable future.
“They believe the group is well enough placed financially, and in terms of the strength of its management team, to maintain its underlying performance and build upon it.”
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