Safestyle UK, the U.K.-focused retailer and manufacturer of replacement windows and doors, has announced a widened pretax loss for the first half of 2023. The company attributes this loss to higher costs and lower sales volume. As a result, Safestyle UK has stated that it will not be paying a dividend.
For the six months ended July 2, Safestyle UK recorded a pretax loss of £6.7 million ($8.1 million) compared to a loss of £2.8 million during the same period last year. The decline in revenue from £78.25 million to £74.1 million can be attributed to a decrease in frames per order and basket size.
Increased Operating Expenses
Operating expenses for the first half rose to £21.2 million compared to £19.9 million in the previous year. This increase was primarily due to inflation, according to the company.
Strategic Efficiency and Cost Reduction Program
In response to these challenges, Safestyle UK’s Chief Executive Officer Rob Neale stated, “We remain focused on delivering on our strategic efficiency and cost reduction program that will yield annualized reductions of approximately £2.8 million.”
No Interim Dividend
Due to the losses incurred in the first half of the year, Safestyle UK’s board has decided not to declare an interim dividend. This is a departure from the 0.4 pence per share dividend declared for the same period last year.
For more information, please contact Safestyle UK.