Pittards, a British leather and leathergoods manufacturer that is a major supplier to the sporting goods industry, returned to profit in the first half and said there are “clear signs” that a recovery from the Covid-19 pandemic was gathering momentum, with orders at their highest level in two years. Pre-tax profit for the six months to June 30 came in at £0.3 million (€0.35m-$0.4m), compared to a loss of £2.3 million (€2.66m-$3.08m) a year earlier. Ebitda rose to a positive £0.8 million (€0.9-$1.1m) from a negative £1.3 million (€1.5m-$1.7m) in 2020. Revenues increased by 46 percent to £9.7 million (€11.2m-$13m). Growth in the U.K. accelerated, with exports down to 84 percent of sales from 89 percent in 2019. However, operating the business was more challenging than usual in the first half due to the national Covid-19 lockdown and Brexit, which “resulted in slower logistics.” Profitability and cash flow for the first half were in line with expectations and ahead of the second half of 2020. “We are cautiously optimistic that the positive sales trend will continue for the remainder of the year,” the company added, noting there was more opportunity than risk in the “new normal” emerging from the pandemic. Pittards said its Ethiopian manufacturing business was showing increased activity in finished products, recovering some ground from earlier in the year, with an “encouraging” order book to fulfil in the second half. The company invested £0.8 million (€0.9-$1.1m) in new product equipment to meet increasing customer demand and its entry into several new markets has been showing positive returns.

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