Again, this post is stemming from the recent market report done by Insight Data. In the report, it showed who the top 3 companies were in the industry in terms of turnover:
1. Anglian Home Improvements: Turnover UP to £208m, with profits steady for four years.
2. Everest: Turnover DOWN to £145m, with £19m loss.
3. Safestyle: Turover UP to £110m with 8.64% pre-tax profit.
The one in bold is the one of interest here. They probably make the most stylish TV ads of our industry, and are one of the biggest, if not THE double glazing household name around the UK. But all is clearly not well if you look at that £19m loss.
To put that amount of money into perspective, that loss is equal to the amount of money Pilkington will save by their recent closure of the float line in St Helens. That is a lot of money to lose in one year, bearing in mind Everest is nowhere near the size of Pilks.
So, what are the reasons for this massive loss? Has there been some major restructuring that they have kept quiet? Have they been repaying debts they might owe? Or is it simply that the other have been catching up and speeding past them in the market place and they are just losing ground to everyone else? Personally, I don’t know. I think that in all eventualities it is going to come down to people simply buying less from them. Which then begs a further question: if people are buying less from them, why?
Everest are know for being one of the most expensive companies around. In a climate where people are wanting to get the most for their money, perhaps their offerings are becoming less appealing. Whatever the reason, this major loss needs to be addressed. Losing £19m on turnover of £145m isn’t good news, and will be compounded if losses are recorded in future years also.
If there are any Everest members of staff out there reading this, I would welcome your comments on this post, maybe to perhaps shed some light as to why so much money has been lost.
All other comments are welcome in the section below too!