Anglian Group, the parent company of Anglian Home Improvement, has said that profits for the first half of 2010 have risen by 70% despite a fall in revenue.
Norwich-based Anglian, one of the UK’s largest double glazing firms, saw a climb in pre-tax profits climb to £11.3 million for the period up until March 27, up from £6.2 million the year before. Turnover saw a significant drop of £15.5 million to £209.2 million.
This follows a recent restructuring at the company as part of a £30 million cost cutting drive in the wake of the economic downturn. In 2008/09, Anglian shed almost 1,000 staff to bring its workforce down to 2,056 as the recession bit hard, with the firm posting a £7 million operating loss for the year.
Speaking to the Eastern Daily Press on September 22, Peter Mottershead, group chief executive, said the company was now focused on investing profits back in the business after a period of relative stability.
“We have to take the strengths we have and invest in the business ready for when the upturn comes. We have continued to invest in the brand and products,” he said.
“We are putting the building blocks in place so that when the upturn comes we are in a good position for revenue growth and further growth in profits.”
However, Mottershead remained cautious over the company’s performance over the coming twelve months, stating that while current trade is up on last year, the forthcoming government spending review may have a significant impact on the market as a whole.
These are certainly big numbers from the Anglian group. 1000 job losses in any company is huge. As is a £30 million pound restructuring plan. Anglian has had to go through a lot of pain to make sure their business is positioned correctly for the future. Evidence is the £7 million pound operating loss. If business continues to be brisk for the rest of the year, that £7 million will be covered and then some.
The article does seem to paint a positive picture for the road ahead for the company, despite such a traumatic restructuring. This begs the question as to why Anglian is up for sale in the first place. If a company is looking like it’s going to be making healthy profits in the future, why would any owner put it up for sale?