Office furniture manufacturer Verco has reported a decline in sales as profit fell into the red.

According to its latest filed accounts for the year ended 31 December 2022, total sales fell 13% to £11m from £12.7m in 2021.

Pre-tax losses resulted at £0.2m, down from its profit of £0.8m recorded the previous year.

Stated within its report, the company said that it was “another challenging year” due to the aftermath of the Covid-19 pandemic, along with the war in Ukraine impacting supply chain and cost increases.

During the year, the business maintained its workforce levels, continued to invest in new machinery and products, as well as marketing to boost future growth.

“Looking for to 2023, there is great optimism,” the company added. “Despite the ongoing war in Ukraine and the continuing uncertainty surrounding energy costs and supply chain concerns, the board remain confident that the business is well placed to continue throughout this difficult and challenging economic period.”