Mail order plants and seeds specialist Thompson & Morgan has attributed strong growth in annual profits to product expansion, cost controls and a focus on customer service.

The Ipswich-based firm said that sales for the 12 months to June 2015 totalled £32million, an increase of around 1% from £31.6m the previous year, including product initiatives in premium composts and fertilisers which had helped to extend the supply season.

Earnings before interest and tax, excluding one-off costs, improved from £200,000 the previous year to £800,000, and this represented underlying earnings for the year of £1.4m based on the annualised benefit of initiatives during the period.

Thompson & Morgan said the improvement in profitability was down to a combination of cost reduction and strategic initiatives to improve customer service and optimise working capital, all implemented under the leadership of a new executive team headed by chief executive Bryan Magrath and finance director Mark Logan.

Customer service measures included an improved quality control regime and a focus on timely despatch and shipping, which had resulted in improved satisfaction levels and reduced costs.

Mr Magrath said: “Traditionally known as a catalogue company, we have driven a shift towards online trading, reducing the number and frequency of catalogue mailings, while putting our energies into retaining our position as a market leader in organic online search optimisation and web conversion techniques.

“We have invested £1.9m in a new enterprise resource planning system in previous financial years and the benefits continue to flow from this project as it is rolled out into more areas of the business.

“Combine this with our commitment to product innovation and plant breeding, customer service and shopping experience, and we are well set to make further improvements to the health of the business.”