Churchill China has revealed pre-tax profits are up 12.4 per cent to £10.8 million in its latest end of year results.
That is despite the Stoke-on-Trent-based pottery giant reporting broadly flat revenues in a challenging environment for the 12 months to 31 December 2023.
In a Final Results announcement to the London Stock Exchange today, the company said revenue at £82.3 million was 0.2 percent down on 2022’s £82.5 million figure.
External materials performance sales had risen 12.5 per cent at £8.1 million (compared to £7.2 million in 2022).
And there had been continued improvement in customer service with a 37.8 per cent increase in inventory to £21.9 million.
The report also highlighted that Churchill had commissioned 4,500 solar panels for its factory during 2023, which supplied up to 100 per cent of the main factory’s electricity requirements on sunny days.
Quarter one of 2024 was “in line with expectations”, the company added, and the outlook was for a continued focus on productivity and waste as well as further investment in strategic growth areas of the business.
Churchill China Chairman Robin Williams said: “The Company continues to deliver on its strategy of delivering a quality, differentiated product and with a service level unmatched in the industry. All this whilst generating sustainable, growing returns for investors.
“The Company made good progress in the year and delivered on the Board’s profit expectations. This was despite tough macro-economic headwinds, which have significantly impacted the hospitality, consumer and retail sectors.
“Whilst profit before tax at £10.8m has grown… this has been achieved despite broadly flat revenues compared with 2022. This impressive growth has come through strong operating margins, driven by a focus during the year on factory performance.”
He added: “Our employees at all levels have shown great commitment and skill to achieve the results of 2023. We have needed considerable flexibility in our operations as we adjusted to the varying levels of demand in the year. We thank all employees for their dedication and continued loyalty to Churchill China.”
