Everest posts £9m loss on falling sales
– despite ‘strong demand’
15th October 2019

Everest Ltd has cited supply chain problems and ‘competition for install manpower’ in 2018 in recording a £9.3million operating loss on 7% drop in revenue to £105million, adding that it looks to return to profit ‘with support from its main shareholder’.

In ‘a year of transition’ the company reports: “competition for installer manpower combined with issues in Everest’s supply chain during the first half of the year meaning that our install operations did not keep pace with the strong demand our sales and marketing functions continue to see from customers.”

It continues: “The second half was one of stabilisation and 2019 has been characterised by driving the operational changes needed to put the business on track for long term profitability with support from its main shareholder.”

The annual report to December 2018 records revenue of £105.104m (against £113.253m the previous year), with gross profit £79.463m (£87.455m), gross margin £75.7% (77.2%) and an operating loss of £9,268m (£1.074m). EBTA loss before exceptional items was £7.447m (£1.012m).

The report continues: “The senior management team has been strengthened during 2018 and 2019 and a series of measures have been instigated to improve the customer journey a well as overhauling production and distribution processes, enabling future improvement in profitability and cashflow.”