The parent group of independent department store retailer Trago Mills has reported a decline in turnover as sales fell below £100m.
According to its latest filed accounts for the year ended 28 February 2026, total sales fell 14% to £88.3m from £102.7m 2024 – although this was against a 14-month period.
Pre-tax losses resulted at £157,000, narrowing from its loss of £5.2m recorded the previous year.
Stated within its report, the company said: “The retail sector continues to present significant challenges, particularly for bricks-and-mortar retailers. Against this backdrop, turnover remained resilient and broadly consistent on a like-for-like basis, although not fully keeping pace with product inflation.
“As a result of this pressure, along with government-imposed costs through national living wage and employers’ national insurance increases, the group has had to take further difficult decisions to reduce staffing costs and rationalise product offerings and overheads.
“The impact of recent loss making on cashflow was reported in detail in last year’s accounts, however the Directors are pleased to report significant improvements achieved in the year now being reported. Chief among these was an overhaul of our buying processes resulting in year-end stock reduction of 17% and gross margin improving from 25% to 28%.
“The gross margin improvement and resized cost base resulted in a dramatic shift in trading profitability moving from a £5m loss to near break-even and, in fact, a cash positive output from the profit and loss account.”
Within the group of four department stores in south Cornwall, south Devon in England, and south Wales, Trago Mills Ltd reported sales of £21.6m, down from £25.3m over the period. Pre-tax profit resulted at £639,000, improving from a loss of £1.3m.
Meanwhile, Trago Millis (Falmouth) saw sales fall to £7.1m from £8.7m, while pre-tax losses resulted at £400,000, narrowing from a loss of £653,000. Trago Mills (Merthyr) saw sales fall to £22m from £23.1m. Pre-tax losses narrowed from £2.2m to £501,000.
As for Trago Mills (South Devon), its largest division, total sales fell to £41.5m from £50.9m, with pre-tax losses amounting to £872,000, narrowing from its loss of £2.1m.
