British jewellery wholesaler and manufacturer tackles historic debts.
Abbeycrest plc, one of the flag bearers of the British jewellery industry for 30 years, has capped a year of improved trading with the repayment of loans and taxes totalling over £2.5 million.
In a trading statement, the company said it has paid £950,000 to Agilo Master Fund in full and final settlement of all amounts due to Agilo and releasing all related security over the Group’s assets.
In addition, the Board has repaid in full £1.6 million which was due to HMRC and had been subject to a “time to pay arrangement” that was disclosed in Abbeycrest’s Annual Report and Financial Statements for the year ended 28 February 2009.
“Trading up to the year ended 28 February 2010 continued to be steady and the Directors remain confident of the prospects for the Group,” the company stated.
Results for the full year ended 28 February 2010 will be released towards the end of June 2010, the report concluded.
Abbeycrest has been working through its most challenging period over the past two years. In its latest published results, for the six months up to 31st August, 2009, revenue was down by 24 percent to £17.9 million, compared to £23.5 million for the same period in 2008. Profit for the period was £1.3 million, a noteable turnaround from a £2.3 million loss for the first six months of 2008.
The company has been working through a turnaround plan dubbed the Leading Edge programme, which aimed to simplify the business, put greater emphasis on higher end branded jewellery, and improve logistics with the aim of delivering a “sell what we make and make what we sell model”.