German kitchen brand sets sights on future growth following takeover

German kitchen brand Poggenpohl has reported a decline in UK sales but did manage to narrow losses.

According to its latest filed accounts for the year ended 31 December 2019, total sales fell 7% to £9.2m from £9.9m in 2018.

Gross profit reduced from £3.5m to £3.1m, while pre-tax losses narrowed from £1m to a loss of £724,000.

Stated within its report, Poggenpohl, which is now owned by Jomoo Germany, a subsidiary of Chinese group Jomoo following its filing for bankruptcy back in April, said that the pandemic had caused a significant drop in demand.

Since the acquisition was completed, on 1 September 2020, the new ownership “has begun to invest into the key areas of business within the group,” Poggenpohl said.

During the period, the company completed an extensive refurbishment in its London flagship studio on Wigmore Street and two other London sites in Hampstead and Chelsea.

“Our pipeline at the end of 2019 demonstrated that our project business is enjoying good growth, however we saw this slow rapidly into quarter two 2020 as developers delayed future projects to concentrate on live projects, whilst attempting to navigate through the global pandemic,” the company added.