Partly Cloudy

Partly Cloudy

max temp: 16°C

min temp: 11°C

Search

UK: Losses fall as cooker sales heat up

PUBLISHED: 16:34 23 August 2014

Glossy

Photograph Simon Parker 12/5/2010



The new showroom at Martin Melville Plumbing in Martlesham showing the Aga, Rayburn and kitchen wares



MyPhotos24 Ref - SP 010 Melville Plumbing 6

Glossy Photograph Simon Parker 12/5/2010 The new showroom at Martin Melville Plumbing in Martlesham showing the Aga, Rayburn and kitchen wares MyPhotos24 Ref - SP 010 Melville Plumbing 6

Cast-iron cooker maker AGA Rangemaster said the appetite of British householders for buying kitchen appliances was growing despite uncertainties around interest rates and the mortgage market.

The Leamington Spa-based group said first-half sales rose 3.3% to £123.5 million, while pre-tax losses narrowed to £300,000 from £2.4 million in the same period last year. In the UK, which accounts for two-thirds of revenues, sales lifted 9.7%.

It hopes to build on the performance in the second half with a range of new products but said that, on current trading and outlook, sales markets “remain consistent and variable”.

“Uncertainties around mortgage availability and interest rates are a contributing factor. Even so, the willingness of consumers choosing to spend money on kitchen appliances has increased in the UK and North America,” the group said.

It comes as UK borrowers face tighter mortgage affordability checks under new rules introduced earlier this year, and speculation about a forthcoming hike in interest rates.

AGA said its Fired Earth tiles brand had a “strong profitable first half” with a recovery in the market driving a double digit sales increase.

New stores for the brand opened over the last three years in the South East were “performing well in the strengthened housing market”.

The firm also said it hoped to boost sales of its products among those who may “not consider them as relevant to their home and lifestyles”.

It said its new AGA City 60 model, which sells for £4,995 was aimed at widening its customer base and attracting “urban, younger audiences”.

This model has roughly the same dimensions as standard kitchen cabinets and is equipped with wheels to help when moving house.

The group said new designs launched since 2011 had accounted for 60% of AGA orders during the first half.

AGA said after a reorganisation last year its Irish and US businesses were yet to recover profitability and sales fell. It also struggled in France.

But the group planned to begin sales in China in the autumn after spending more than two years gaining the right accreditations.

Operating profits jumped 60% to £2.4 million from a year ago. The pre-tax result was impacted by £2 million pensions charge.

0 comments

Welcome , please leave your message below.

Optional - JPG files only
Optional - MP3 files only
Optional - 3GP, AVI, MOV, MPG or WMV files
Comments

Please log in to leave a comment and share your views with other Ipswich Star visitors.

We enable people to post comments with the aim of encouraging open debate.

Only people who register and sign up to our terms and conditions can post comments. These terms and conditions explain our house rules and legal guidelines.

Comments are not edited by Ipswich Star staff prior to publication but may be automatically filtered.

If you have a complaint about a comment please contact us by clicking on the Report This Comment button next to the comment.

Not a member yet?

Register to create your own unique Ipswich Star account for free.

Signing up is free, quick and easy and offers you the chance to add comments, personalise the site with local information picked just for you, and more.

Sign up now

A 12-lane bowling alley, a laser quest arena and a ‘ninja warrior’ style assault course are among the exciting entertainment announced to open at the Buttermarket Centre in Ipswich this August.

A drug-driver who had six times the legal limit of cocaine in her system has been banned from driving.

A bigamist’s second ‘wife’ has pledged to stand by him after he admitted ‘marrying’ her without divorcing his first wife.

Despite having a fear of crowds, a Felixstowe woman is taking on one of the biggest public races in the UK to support the charity for which she works.

Donald Tusk has warned there is nothing to win in Breixt telling a press conference he would not pretend it was a happy day.

I did try, I honestly did but I couldn’t cope with the hot flushes and sweaty episodes and so I’m back on Hormone Replacement Therapy (HRT).

On 23 June last year, the people of the United Kingdom voted to leave the European Union. As I have said before, that decision was no rejection of the values we share as fellow Europeans. Nor was it an attempt to do harm to the European Union or any of the remaining member states. On the contrary, the United Kingdom wants the European Union to succeed and prosper. Instead, the referendum was a vote to restore, as we see it, our national self-determination. We are leaving the European Union, but we are not leaving Europe – and we want to remain committed partners and allies to our friends across the continent.

A young gambling addict cleaned out his 82-year-old grandmother’s bank account when taking £11,000 to feed his habit.

Friday is Wear a Hat Day for Brain Tumour Research. Lynne Mortimer looks at the joy of hats and the famous hat-wearers.

Police are appealing for witnesses after a teenage girl was assaulted in Great Cornard, near Sudbury.

Most read

Most commented

HOT JOBS

Show Job Lists

Topic pages

Newsletter Sign Up

Sign up to receive our regular email newsletter
MyDate24 MyPhotos24