Walker Greenbank CEO quits as profits tumble

10th Oct 2018 11:56

(Sharecast News) - Walker Greenbank chief executive John Sach has stepped down after two decades with the luxury interiors outfit as profits tumbled in the first half of the year.Sach will step down at the end of the month and will be replaced by Christopher Rogers, currently a non-executive director, on an interim basis until a suitable replacement can be appointed.The outgoing chief executive told investors that, with "the evolution of the business" continuing, now was the time to step back from the drawing board to let some new blood lead the company in the next stage of its development."Walker Greenbank is a high-quality business with excellent brands and skilled manufacturing. I have great belief in its future success," said Sach.Sales slid 1.4% to £54.7m in the six months ended 31 July, but the AIM-listed company still reported some good growth from several segments amid a "generally difficult marketplace".Licensing income rose 34.5% to £2m and third-party manufacturing sales picked up 10.7% year-on-year thanks to export growth and the company's digital printing business.Pre-tax profits tumbled 28.3% to £4.3m and earnings per share came in 32.6% weaker at 4.73p each.Non-executive director Terry Stannard, said: "The sales performance in the first nine weeks of the second half has seen some modest improvement. In the UK the trend has been less negative and, in total, sales to overseas markets have been broadly similar to the same period last year."Net debt was cut by 34.6% to £3.4m.As of 1150 BST, WGB shares had dipped 1.95% to 73.05p.