Contract furniture design and manufacturing business, Boss Design, has reported a decline in sales as turnover dipped below £40m.

According to its latest filed accounts for the year ended 31 March 2024, total sales fell 13.2% to £37.9m from £43.7m in 2023.

Pre-tax profit resulted at £1.3m, down from its profit of £2.8m recorded the previous year.

UK sales fell 2.6% to £28.9m from £29.7m, while EU sales decreased 28% to £2m from £2.8m. Revenues from North America fell 24% to £1.9m from £2.5m, with sales in Asia declining 44% to £4.6m from £8.3m.

Stated within its report, the company said: “The 12-month period to 31st March 2024 was a challenging year for the company with the spike in post covid demand seen in the period to 31st March 2023 levelling out; an economic slowdown due to rises in interest rates to reduce inflation; and low confidence in the market due to an impending general election.

“As a result, turnover fell. The decrease in sales to export markets has been heightened by conflict in both Europe and the Middle East subduing investment opportunities and creating supply chain disruption.

“Despite a fall in turnover, gross margin levels increased from 28.7% (2023) to 29.3% (2024), driven by a reduction in inflationary pressure on raw material costs, coupled with product mix variation.

“Overhead expenses growth was constrained to 1.8% due to a moderation in inflationary cost increases over the financial period and tighter budget management internally.”