Luxury jeweller Theo Fennell said losses more than halved at the half year stage as it slashed overheads and restructured the business but summer sales suffered as focus turned to the Olympics.
The group, which remains in discussions with EME over a potential offer for the firm, said loss on ordinary activities before taxation reduced to £610,083 for the six months ended September 30th 2012 from a loss of £1,390,739 a year earlier.
Turnover for the period slipped 8% to £4.9m as international demand deteriorated during the Olympics, the group explained.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Chairman Rupert Hambro commented: "These results reflect the substantial cuts to overheads, which together with the restructuring of the business, have significantly reduced our losses for the period."
"The major focus of the business is to increase sales which will return the company to profit. We continue to explore exciting opportunities for Theo Fennell in overseas markets including the Far East, Middle East and Eastern Europe."
Looking ahead Hambro added that while the outlook for the economy and the retail sector remains uncertain, the changes made in the last six months mean it is better positioned for the future.
Commenting on ongoing talks with private equity player EME Capital, Theo Fennell added: "As notified in a recent statement, we are in ongoing discussions with EME Capital about a potential takeover of the business and will inform the market when there are further developments to report."
CJ
