Window maker's sales rise but profits hit by tumbling pound
Window maker Epwin Group – which has a major factory in Telford – saw sales boosted in the first half of the year, but saw its profits fall as margins were squeezed by the collapse of the pound.
The company, which has an operation on Stafford Park, enjoyed a 4.6 per cent rise in revenue to £149.9 million in the six months to June 30.
But Epwin – which supplies businesses in the repair, maintenance and improvement, new build and social housing sectors – said its input costs had spiralled because of the weakening of the UK currency, and that in a subdued market it was struggling to pass the costs on to customers.
That has led the company to look at cost savings, including moving some of its operations onto other sites, although that has not affected the Telford operation.
Chief executive Jon Bednall said: "Performance in the first half of 2017, despite the significant input price increases resulting from the weakening of sterling, demonstrates the resilience of the group's business model and the board's strategy.
"We have continued to broaden our product portfolio and channels to market as well as drive operational efficiency and product development. however, in light of market conditions, the political and economic uncertainty and the highlighted customer issues, the group has accelerated the implementation of a programme aimed at adjusting the group's operational footprint."
Last week the company said it remains in a strong financial position after a key customer entered administration owing Epwin £3.9 million.