Diss-based audio-visual giant Midwich achieved a pre-tax profit of more than £50 million last year – a first for the company.
The business, which has its headquarters in Vince’s Road, saw total revenue increase by 7.1 per cent to £1.2 billion, from January to December 2023, aiding its highest ever gross profit margin of 16.8 per cent.
Strong technical product sales were credited for the results, while it continued to acquire leading competitors, including Quebec-based business S F Marketing, allowing it to enter the Canadian pro audio sector.
Managing director Stephen Fenby said:“The group had another strong year, both operationally and financially, improving all key metrics in a highly challenging market.
“Our performance reflects the fundamental strength of the business, our customer and vendor relationships, our geographic and technical solution diversity and, most of all, the skills and dedication of our team.
“Despite lower demand for mainstream products, stronger technical product sales led to our highest ever gross margin percentage. A strong increase in adjusted operating profit of 17 per cent helped to achieve adjusted profit before tax in excess of £50 million for the first time.”
The business acquired five more companies during the year: US video software distributor Toolfarm, 76 Media, HHB Communications and Pulse Cinemas in the UK and Ireland as well as Spanish equipment distributer Video Digital Soluciones SL.
Mr Fenby said the firm was targeting another year of growth.
“Although still early into the new financial year, we remain confident that 2024 will see yet another year of growth in excess of the overall market,” he added.
