Lucy Group reported a stronger than expected set of results in 2016, against challenging market conditions. Group sales for the year ending 31 December 2016 stood at £192m, a fall of 11% compared to 2015, whilst rental income increased by 4% to £7.1m.
Downward price pressure and reduced sales volumes, allied to an ongoing investment programme saw operating profit decrease by 18% to £11.9m before valuation gains. Whereas Group profit before tax increased by 11% to £20.8m following a net valuation gain on the Group's investment properties.
In mitigation of a tougher trading environment, cost control and restructuring measures were implemented during the year. Moving forward, these actions will ensure the Group has the right balance of resources and agility to further its strategic priorities and drive growth.
Richard Dick, Executive Chairman and CEO:
“As expected, 2016 presented challenges on a number of fronts, both in our own industries and the wider economic and political environment, which to an extent our headline results reflect. However, it is pleasing to deliver a set of results which bear testament to the hard work of our employees across all business units. We expect the key issues that impacted us during the year to continue into 2017, but I am confident we will rise to whatever opportunities and challenges lie ahead.”