New figures have been released by administrator Leonard Curtis that paint a grim picture of the final months at Abbeycrest before the jewellery business fell into administration.
Sales at the business fell by £10 million in the ten months to December 31 on a pro-rata basis to £22.8 million. The business ended the year with a loss of £3 million on total sales of £38.5 million.
After going into administration in February Abbeycrest Thailand – the business’s manufacturing arm based in Thailand – was sold to Chrysus Holdco, an investment vehicle based in Manchester.
Abbeycrest subsidiary business Brown & Newirth posted a decline of 41% in sales in the first six months of the 2011/2012 year with an associated reduction of £950,000 in operating profit. The wedding ring manufacturer was also in the process of deferring a tax bill of £350,000.
The management team at Brown & Newirth, which has since been bought out by Chrysus Trading, have been working to turn the business around. In an interview with Professional Jeweller magazine this month director John Ball said that sales are now starting to pick up at the company after a restructure.
Ball admitted in the interview that the company had been “on a trajectory of losing 40% of our turnover to mismanagement of accounts” but went on to lay out his plans for the turnaround of the business, claiming that it has now recovered many lost accounts as well as picking up new business.
The interview with Ball is in the May issue of Professional Jeweller which is out now. To view a digital version of the magazine and the interview with Brown & Newirth click here.