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Farrow and Ball delivers impressive sales and profit growth

Farrow and Ball

Premium paint and wallpaper manufacturer Farrow & Ball has achieved an impressive set of record sales and profits, helped by both the distribution deal with B&Q and increasing exports.

It all started in Dorset, back in 1946, with local pioneers John Farrow and Richard Ball. Farrow was a trained chemist who worked for Ireland’s Agnew Paints during the Second World War, while Ball was an engineer who survived capture as a prisoner of war. 

In December 2014, they were acquired by global asset management company Ares Management. and made the decision in 2016 to make all employees shareholders. As a result, Farrow & Ball is now 25% employee owned with the remaining 75% owned by institutional investors. FB Ammonite, the manufacturer's UK parent, reported turnover of £83.3m for the year ending 31 March 2017, up from £73m in 2015/16. EBITDA also increased to £23.5m up 17% from £20.1m the previous year.

Growth was achieved across all four of the group's core markets including the UK, North America, France and Germany, as well as new markets including Holland and Scandinavia.

International sales grew by 24% and now accounts for more than a third of the total, whilst online sales increased by 24.5%, following continued investment in the business' digital strategy.

Don Henshall, Farrow & Ball chief executive, said: "It has been a very successful year, with the Farrow & Ball Group delivering double-digit growth. We introduced some exciting new initiatives during the year, including new distribution with B&Q, to make it even easier to find and buy our unique paint, and the introduction of nine new colours to our carefully curated palette. We are also reaping the benefits of our continuous online investment. Web sales were our best ever in the period and, with more than eight million visitors a year, it really is our biggest store."

Farrow and Ball products are now distributed through 60 Farrow & Ball showrooms and around 1,300 stockists worldwide.

Source: Insight DIY Team

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03 January 2018
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