Online furniture retailer Furniture and Choice has reported a decline in sales.

According to its latest filed accounts for the year ended 31 March 2024, total sales fell 26.5% to £20.7m from £28.2m in 2023.

Pre-tax losses resulted at £1.2m, down from its profit of £141,000 recorded the previous year.

Stated within its report, the company said: “The reduction in turnover is due to the reduction in online consumer spending on furniture following the surge experienced during the earlier stages of the COVID-19 pandemic. The war in Ukraine as well as the conflict in Israel and the cost of living crisis further reduced consumer demand as we entered into 2024.

“Gross profit has reduced to £3.4m (2023: £4.9m) and gross profit as a percentage of sales has reduced to 16.35% (2023: 17.30%). Freight and distribution costs have reduced in line with sales during the year, however, there has been an increase in direct advertising costs which has resulted in this reduction of gross profit margin.

“The company maintains strong capital and reserves and has reduced its overheads, in particular after the year end. The company has also implemented efficient stock management policies and continues to invest in technology and marketing to ensure that financial results improve looking ahead.”