Suppliers of contemporary bedroom furniture, Home Decor, has reported a decline in sales.

According to its latest filed accounts for the year ended 31 December 2024, total sales fell 16% to £23m from £27.4m in 2023.

EBITDA stood at £848,000, down from £1.8m against the prior period. Pre-tax losses resulted at £9,500, down from a profit of £898,000 year-on-year.

UK sales were down to £22m from £26.3m, while EU sales slipped from £1m to £860,000. Outside the EU, sales rose from £115,000 to £166,000.

Stated within its report, the company said: “The decrease is driven predominantly by a reduction in sales through the Retail channel, where consumer confidence remained low post the cost-of-living crisis and increases in interest rates continued to impact consumer spending with mortgage rates remaining high and reducing spending on big ticket items.

“Further impacting this two of our biggest Retail customers made strategic decisions that had an adverse impact on the sale of our products. One did not promote our category in Q1 2024 as they focused on reviewing their bedroom category and the other saw significant sales reductions as they destocked and focused on the launch of their new hinged wardrobe category. 2023 also included £1.8m of one-off kitchen revenue that is not within the 2024 revenue figures.

“Margins improved in 2024 by 3% predominantly due to the 2023 figures including the £1.8m kitchen revenue at zero margin. Overhead costs increased in 2024 driven by the bad debt provision of £280k due to a customer going into administration.

“2024 delivered a decrease in EBITDA to £0.9m compared to the 2023 EBITDA of £1.8m with this decrease driven by the decrease in sales revenue and increase in bad debt provision for the year.”