Vasanta Publish 2013 Accounts
Vasanta are delighted to report another year of turnover and profit improvement in 2013. EBITDA increased by £2m (38%) on 2012 to £7.3m, the largest year on year increase since the formation of the Group.
Turnover increased by 7% (£26.6m) to £414.9m. This reflected market share wins in the Vow dealer sales base and strong growth in the IT reseller and Contract Stationer sales channels. From a product category perspective, Vasanta delivered significant sales growth in each of the major product categories with EOS up 6%, Traditional office supplies up 10% and Facilities Supplies up 20%. From a geographical perspective there was a particularly pleasing performance from Vow Ireland where a number of customer wins helped drive a notable improvement in both sales and profits. We have also secured a number of customer wins in the South East and have recently opened a new sales office in central London to help us capitalise on the opportunities in this area.
Gross profit increased by £4m to £75.1m with the margin maintained at the previous year’s level (18.1% vs.18.2%).
Operating expenses increased by £1.4m (2%) to £71.2m reflecting tight cost control with the decrease in distribution costs of £2.5m (7%) notable given the increase in turnover. This reflects the strength of the Vasanta logistics model.
As at 31 December 2013 the business had net assets of £12.9m, but more significantly net assets of £26.2m pre debt instruments held by our shareholders. The business is well financed and continues to operate with a satisfactory level of cash headroom.
Commenting on the results, Robert Baldrey, Vasanta Group CEO noted:
“2013 was a further year of excellent progress for Vasanta with strong sales growth driving a very positive improvement in EBITDA. Trading in the first half of 2014 has been strong, with continuing sales growth and we are confident that we will deliver further profit growth for the full year. With an excellent team, well invested infrastructure and the continued support of Endless LLP, we are extremely well positioned for the future and excited about the potential that the proposed transaction with EVO Business Supplies and office2office plc represents.”