Revenue growth and rent cuts help luxury brand in Ireland
Successful negotiations with landlords on reducing rents and revenue growth for the Irish arm of luxury brand Swarovski is leading the firm to a more sustained return to profitability.
That is according to new accounts just lodged by Swarovski Ireland which show that the firm returned to profit last year on the back of better sales margins.
The Swiss-owned fashion jewellery and crystal product firm recorded pre-tax profits of €25,000 in the 12 months to the end of December last. This followed a €243,000 pre-tax loss in 2013.
The directors state that after a slow start in 2014, trading performance strengthened, culminating with a very strong run into Christmas.
But that wasn't enough to prevent revenues dipping marginally by 2pc to €3.45m last year.
The directors' report states that with growth "in turnover and following successful negotiations with landlords to reduce rents to come more in line with market conditions that will have a full year effect in 2015, the directors believe that the company will continue on a journey to a more sustained return to profitability".
The directors said "the company expects to maintain and grow the business in the established outlets and...research the possibilities of further expansion into other areas of Ireland."