Vision International Holdings, the parent company of TJ Hughes, has returned to profit after reporting a pre-tax profit for 2023.
- Despite a slight drop in sales, profitability was aided by the utilisation of the historic Lewis’s brand.
- The company’s strategic move to a new store location in Liverpool and diversified brand offerings proved beneficial.
- Challenges such as rising energy costs and geopolitical tensions were managed effectively by the group.
- Future trade is expected to grow as high street shopping rebounds and cost-control measures are in place.
The parent company of Liverpool’s famous discount retailer, TJ Hughes, has achieved a notable financial turnaround in 2023, marking its return to profit. Despite a reduction in sales from £27.8 million in 2022 to £26.6 million in 2023, the company reported a pre-tax profit of £430,000, contrasting with a £350,000 loss the previous year. This positive outcome underscores the effective strategies implemented by Vision International Holdings.
Central to this success was the strategic utilisation of the historic Lewis’s brand, which TJ Hughes incorporates for its homeware products. The legacy brand, acquired after the closure of the original Liverpool-based department store in 2010, proved to be a key contributor to improved financial performance. Vision International Holdings capitalised on the brand’s longstanding reputation to drive sales, focusing on mid-price points in textiles and home essentials.
Furthermore, the relocation of TJ Hughes’ flagship Liverpool store to the city centre on Church Street in September 2023 has been a significant move. This repositioning taps into higher foot traffic and aligns with the company’s efforts to revitalise the high street presence.
According to CEO Anil Juneja, the board is optimistic about future performance, attributing security to a diverse brand portfolio, diligent cost controls, and a committed workforce. Juneja acknowledged the challenges posed by unprecedented energy cost spikes and geopolitical tensions affecting trade routes, yet commended the group’s proactive measures in countering these issues. He also highlighted the group’s well-established global sourcing capabilities, particularly in Asia, to manage the cost of goods sold effectively.
Mr. Juneja also emphasised the expanded sales of Lewis’s branded items, underscoring a commitment to providing stylish household essentials that adhere to quality standards and affordability. He reaffirmed their dedication to maintaining the essence of Mr. Lewis’s founding vision of fairness and honesty in their offerings.
Vision International Holdings is poised for continued growth as it capitalises on brand strength and strategic market positioning.
