DO-IT-YOURSELF retailer Rapid Hardware expects to return to profitability this year after enduring a difficult period while it relocated to the former George Henry Lee store, LDP Business can reveal.

Its final full year at its Renshaw Street home had seen a huge fall in sales and a pre-tax loss of £1.46m.

But its accounts for the year to January, 2010, show that it cut its losses by nearly £1m, to £484,000, despite sales slipping a further £590,000 to £7.45m. Six years earlier, it recorded sales of nearly £20m.

The improved performance has resulted in Rapid Hardware’s auditors, Bootle accountants SB&P, not repeating its concerns about the retailer’s ability to continue trading without the support of its parent company. The financial year saw seven months’ trading at Renshaw Street and five months at Basnett Street, with the move seeing an improvement in gross margin.

Since relocating in August, 2009, Rapid Hardware has grown sales and continued improvements in its margins, which it believes will result in a profitable performance in the company’s 40th year. It was founded by Hugh Doherty in 1971 and is now led by his son, Martin, who is managing director.