THE PARENT company of the maker of Filofax and Letts diaries has made an underlying pre-tax profit of £1.2 million in the year to April 30, dipping from £1.8m following completion of a major restructur

Revenue at FLB Holdings was down almost six per cent to £31.7m. In new accounts filed at Companies House the directors cited categories that were exited and adverse exchange rates for the reduction in sales.

The company said it had now completed a lengthy period of restructuring, which had begun in 2014, shortly after FLB was acquired by HSGP Investments, owned by Harolde Savoy and Gordon Presly.

This led to the closure of subsidiaries in the US, Canada, France, Sweden and Denmark – and the appointment of Blueline Rediform as a North American distributor.

This restructure also saw the group make job losses at its Dalkeith operations – with redundancy costs contributing £365,000 to the £400,000 exceptional charge booked last year – which was improved by a £353,000 on the disposal of land.

Average staff numbers over the year were 306, down from 328, as the highest paid director received £200,000 in emoluments, down from £225,000.

The group saw an increase in sales in the UK, to £19.3m, and North American sales continued to grow, up 50 per cent to £2.2m. European sales fell however, down 28 per cent to £8.3m.

Directors said they would continue to streamline the business, with Mr Savoy writing: “The major restructuring exercise… has been effective in re-sizing and stabilising the business to a lower cost operating model.”

A new product initiative is currently underway at the group, which Mr Savoy said would see a focus on returning to sales growth.