Scott & Fyfe upbeat despite profits dip and US tariffs – Daily Business

Scottish textiles company Scott & Fyfe, which exports 94% of its production, believes it has the flexibility and underlying strength to manage the hike in US tariffs.

The employee-owned company, based in Tayport, Fife, posted a dip in pre-tax profit to £1.211 million for the year to the end of December compared with £1.437m in 2023.  Operating profit rose to £1.143m from £1.097m. Turnover fell to £17.07m from £18.2m.

Sales to the US and Canada increased by 14% and to the EU by 28% while they fell 26% to other parts of the world. It said it is exploring a number of opportunities in emerging markets.

In the first quarter of the current year revenue rose 22% over the corresponding period in 2024. This preceded Donald Trump’s tariffs and the hike in costs imposed by Chancellor Rachel Reeves from the start of this month.

Commenting on prospects for the rest of the year, managing director Michelle Quadrelli said: “As a significant exporter, any developments affecting global trade inevitably influence our operations.

“The current tariff environment is yet another example of the ever-evolving, uncertain, and volatile market conditions we navigate.

“However, our commitment to innovation and diversification, coupled with our perseverance, flexibility and adaptability, positions us strongly to manage these challenges.   

“We have a proven track record of navigating market challenges, including supporting our international clients with any associated repercussions, and we remain confident in our ability to continue delivering value to our customers and stakeholders despite these headwinds.”

The company, which began as a linen works in 1864, has a team of 90 specialists designing and creating high-tech fabrics and composite materials for industry.

It is led by a newly-appointed board and has been expanding its workforce, including the recent arrival of a new commercial director, quality leader and process engineer. Recruitment efforts are also underway for various roles, ranging from machine operators to administration.

Ms Quadrelli, appointed managing director in 2023 after 20 years with the company, views the accounts as a testament to stability and sustained strong performance, building on the success of the previous year.

She said: “This past year brought significant challenges but, through adaptability and perseverance, our team achieved outstanding results, further reinforcing our strength as a business.

“Committed to ongoing investment and growth, we successfully navigated market downturns while strengthening our team to enhance existing value streams and seize new opportunities.”