Family-owned national jewellery retailer, Beaverbrooks, has announced its group turnover for the financial year 2020/2021 was £123.1m, down only 14% from £143.2m against 2019/20 levels which was the brand’s most profitable year of its 102-year history.
Following “significant investments”, Beaverbrooks ended the financial year with a group operating profit of £16.3m compared to £17m in 2020.
Additionally, the jewellery company saw a gross profit margin of 15.1% compared to 18.4% in 2020.
Beaverbrooks said the reduction in the overall margin was “significantly influenced” by the expansion of its e-commerce offering during the year. The company also said this is a “pleasing result” against a “challenging backdrop” of retail and high-street closures.
Throughout the pandemic, the jeweller’s 71 stores were unable to trade for six months due to national lockdowns, but the retailer was able to maintain “a strong financial footing and roles for all colleagues”, with no redundancies made during the entire pandemic.
The retailer chalked its “successful handling” of the pandemic year down to a “people-centric approach to business that put the safety of colleagues and customers first, protected jobs and incomes, and safeguarded the future of the company”.
The business received Government backed Covid-19 business support during the financial year. Beaverbrooks said this assistance ensured it was able to support its people, retaining jobs for over 960 colleagues.
Anna Blackburn, managing director of Beaverbrooks, said: “There’s no doubt that 2020 was a challenging year for the sector, so to come out the other side in such a strong financial position is something we are incredibly proud of as a business.
“For us, it was all about adapting to the changing landscape and ensuring we put the safety of our people and customers as our number one priority. It’s no secret that the retail industry was hit hard by the pandemic, so we’re delighted to have retained such a strong level of profit despite our 71 stores being closed for half of the trading year.”
Mark Adlestone OBE DL, chairman of Beaverbrooks, said: “A people-first ethos has always been at the heart of our business, and this was more important than ever during a year where our trading decisions were significantly influenced by the Covid-19 pandemic.
“Staying true to our purpose and being agile in our business decisions and direction, meant we were able to navigate a year of store closures and restrictions with an engaged workforce, zero redundancies, ensuring families were supported during this difficult time, and healthy levels of profit to continue to reinvest in our business.”