MOORES

Background

Established in Yorkshire in 1947, Moores is a £68.5 million turnover kitchen and bathroom manufacturer with a 600,000 sq ft factory in Wetherby. The business grew through the 1960s supplying kitchen units for public sector housing, subsequently expanding into the private development and retail markets. Moores was acquired by US home improvement manufacturer, Masco Corporation, in May 1996.

In November 2017, Hilco Capital acquired Moores Furniture Group from Masco Corporation as part of a strategic review of non-core operations.

Hilco Capital’s role

• Provided funding required to support the turnaround
• Worked with management to design and implement 90 day turnaround plan
• Conducted full review of all sales channels, costs, organisational structure and KPIs
• Performed end-to-end review and benchmarking of stock procurement process
• Provided full time consultant to consolidate stock mix and reduce stock balance
• Assisted with central overhead reduction
• Hilco Property appointed to conduct property review and landlord negotiations

Results

• 24% YoY sales increase in first year of ownership with similar growth rate in year two
• £1.5m reduction in central overheads
• New internal communication processes between sales, manufacturing and procurement have reduced inventory days to industry leading levels
• Material improvement in working capital requirements as a result of reduced inventory days
• Renegotiated lease terms and exited underutilised external premises
• Achieved £2.5m profit in 2019
• Awarded Turnaround of the Year at the TRI Awards 2019