Accounts for the high-end furniture retailer show increased turnover and profits
North East furniture retailer Barker and Stonehouse says it is beginning to see a recovery from cost-of-living pressures in the UK economy after accounts showed a rise in both turnover and profits. The Stockton-based family firm, which has stores around the North and further afield, has released accounts for the year ending March 30 that show turnover increased from £78.4m a year earlier to £81.2m.
Over the same period, operating profits rose significantly from £913,000 to £3.9m. The company had previously seen two years of falling sales.
The year covered by the accounts includes the sale of its Newcastle city centre store, which is now being turned into student accommodation. The accounts show a £3.3m profit on the disposal of fixed assets.
Barker and Stonehouse maintained a presence in the city centre by opening a concession in the Fenwick department store. It has since doubled its floorspace in the store and this month replicated the initiative by opening a concession in the independent Jarrolds department store in Norwich.
The accounts say: “Turnover increased by 3.6% as income started to recover from ‘cost of living crises’. The margin was steady at 46.0%. Profit before tax was £3.1m being aided by the sale of the Newcastle store. Cash at the year-end was £4.4m up from £3.1m on the previous year and borrowings were reduced from £9.8m to £7.4m. The implementation of Microsoft’s Business Central ERP system was completed during the year, which is, along with AI, enabling the company to produce real operational efficiencies and benefits.
“The company further consolidated its business arrangement with Fenwick Ltd and doubled floorspace at Fenwick Newcastle in the autumn of 2024. The company has agreed to open a concession within Jarrolds department store in Norwich in December 2025. Further investment has also been made into our online offer and third party platforms. The company is trading profitably since the year end with increased turnover and gross margin.”
Barker and Stonehouse, which was founded in 1946 and is still run by the Barker family, has 18 stores around the country, including at Gateshead, Hull and Knaresborough. The company’s headcount decreased slightly over the accounting period, to stand at 386.
The accounts highlight the firm’s efforts to reduce its environmental impact, including the Trees4Trees project it helped to found in Indonesia, which helped to plant over three million trees and support more than 23,000 families to earn a sustainable income through environmental stewardship.
