Jewellery manufacturer and precious metals supplier Cooksongold insists it is pleased with its financial performance despite seeing more than £100m wiped from its turnover last year.
According to accounts filed with Companies House this month, a decrease in sales of fine gold products resulted in turnover falling 28% from £384.7m to £277.4m for the year ended December 31, 2017.
The Birmingham-based outfit acknowledged the severity of the slump in the report, explaining: “The company’s turnover decreased due to a decrease in sales of fine gold products which results in a high turnover impact for a lower level of net margin earned, and a reduction in volumes of precioud metal scraps.
“There are also continued increases in sales in other channels at substantially higher margins, but lower turnover impact.”
Despite the downturn in revenue, Cooksongold’s profits actually held steady, declining only slightly from £2.7m to £2.1m year-on-year.
And CEO, Martin Bach, told Professional Jeweller that the company was satisfied with its performance given the unprecedented pressure on volumes last year.
“Despite a decrease in overall turnover, we are pleased with our 2017 performance. Our decrease in turnover is directly linked to precious metal volumes processed through the business, and in particular through the refining activity. As members of the trade are aware, the demand for precious metals has dropped significantly in a very challenging market. As a result, this has impacted our business volumes.”
Bach continued: “Despite the challenging arena, sales through our multichannel divisions have continued to grow, sustaining our profit figures. We look forward to continuing to supply the industry for many years to come.”
Cooksongold is a one-stop-shop for precious metals and jewellery making supplies, with more than 17,000 products available for next-day delivery. It employs more than 200 people in the UK.