Recently released 2019 figures from Smyths Toys UK show that revenue increased to a record €737m.
According to a report in the Irish Times, new accounts show that revenues at Smyths Toys in Britain and Northern Ireland increased to a record €737m in 2019. Accounts filed by Smyths Toys UK Ltd, which focuses on Britain, show the retailer’s pre-tax profits declined by 14% to £12.48m in 2019, as the company expanded further in Britain.
Sales at the company increased 7% from £581m to £622.6m in 2019, while sales at the Northern Ireland arm totalled £45.19m, resulting in combined revenues of £667m. The retailer currently operates 104 stores in England, Scotland and Wales and an additional seven in Northern Ireland, where pre-tax profits for 2019 totalled £904,000. The accounts confirm that the British company declared a dividend of £31m in February 2020, following a dividend of £9m in 2019. Combined numbers employed at the two companies increased from 2,642 to 3,001 in 2019.
Speaking about the impact of Covid-19, the directors commented that the company had been performing well up to March 2020, at which pointy it was forced to close stores, which subsequently reopened last June. The directors added that, based on company forecasts and a range of different scenarios, they are satisfied that with the current levels of reserves, and by utilising available government supports and tight cost-control measures for the period of the pandemic, Smyths UK can sustain its operations in the current volatile environment.
With regard to the group’s future developments, the directors commented that “further expansion will occur in the UK market in the coming years through the opening of new stores”. Underlining its expansion in Britain, the company spent £19m in 2019 purchasing property, an increase on the £14m spent in this area the year before.
The company recorded a post-tax profit of £9.4m after paying corporation tax of £3m.