Royal Warrant holder, Hypnos, part of Keen and Toms Holdings, has overcome the challenges presented by Covid-19 and Brexit to deliver a solid performance in its latest financial year to 24th June 2022.

Building on its strong brand equity, success was driven by two key themes – innovation and partnership – in a trading period which saw Hypnos enjoy growth in turnover of just above 17%. In addition, the company made a number of efficiency improvements across the business, reducing administration costs by 3% in 2021-2022 compared to the previous year, and cutting distribution costs by 1% during the same period. This was despite a challenging first six months, with the second half of the year proving much stronger for the business.

As is the case with most manufacturing businesses, rises in raw material prices and energy costs were keenly felt, but efficiencies within the business meant that price increases to customers were kept to a minimum.

The aftermath of the global pandemic impacted staffing levels due to a shortage of skilled workers and craftsmen, but resourceful action in the areas of recruitment and retention saw staff numbers return to the required levels by December.

Indeed, this restoration of staff levels was critical in continuing to meet the record demand for Hypnos products, in part driven by its reputation for British quality workmanship, relentless product innovation and commitment to the environment and sustainability. 

Innovation was also a constant theme throughout this period, with several key product introductions. Chief among these was new to the market Hypnos’ Origins Organic Collection, which has been certified by the Soil Association and endorsed by the Eden Project – Hypnos’ new sustainability, charity, and community partner. This partnership continues to see Hypnos work closely with the Eden Project to help educate employees and customers on living and sleeping sustainably, as well as how to care for the environment. In addition, a charitable donation from the sale of each Origins Organic Collection mattress is being passed on to the Eden Project to assist its work in supporting the environment and creating community education, biodiversity, conservation, and regeneration projects.

As well as the Origins Organic collection, Hypnos also produced the Hospitality Origins Collection, which was designed exclusively for this sector, with products manufactured from natural and sustainable materials, including Red Tractor wool from assured British farms. All products in this range are responsibly sourced and traceable to their point of origin.

Hypnos focused on delivering social value with employees giving up their time to support local disadvantaged families, as well as those with bed or furniture poverty and the homeless, the business was to provide support to Ukrainian refugees by donating mattresses to those who needed them.

The year also saw Hypnos embark on Project Zero, a mission to develop carbon-negative mattresses, which is integral to the company’s pledge to go beyond neutralising its carbon footprint and actively help to regenerate the planet by manufacturing mattresses which remove CO2 from the atmosphere.

Hypnos CEO James Keen explained: “Like many companies, trading conditions in 2021-22 presented a unique set of challenges but as a resilient business, we were well placed to overcome these and create new opportunities.

“We remain confident that supply chain issues have subsided to manageable levels and that we are driving towards our ambitious growth objectives. As part of this, we continue to invest in all areas of our business, delivering the levels of innovation which our discerning customers require. This ensures we’re creating the highest levels of comfort, quality, durability, and design, all without compromising on sustainability.

“It goes without saying that sustainability remains at the heart of everything we do, and new partnerships with the Eden Project, and our work with partners such as Red Tractor and Soil Association, mean customers can be assured that by choosing Hypnos, they will be doing the right thing when it comes to protecting the wider world.

“This strategy, and the force for good actions we take within it, continues to position Hypnos ideally to deliver on our promise of ‘comfort with integrity’.

“In summary, having recovered from the pandemic challenges from early 2022, the business is now focused on developing its platform for a successful future through its 120th anniversary in 2024.”  

The year culminated in a new partnership with Waitrose farms, from which Hypnos now sources wool direct for all its John Lewis bed collections. Hypnos also collaborated closely with John Lewis to develop its own brand Classic Eco Collection 1200 Pocket Spring mattress, which was awarded the Best Wool-Free Mattress Award in PETA’s 2022 Vegan Homeware Awards.

This was not the only independent recognition received throughout the year for the quality, innovation and sustainability brought to the market by Hypnos. A series of prestigious award wins included Component Product of the Year for the Himalaya Nettle, Cotton, and Kapok Fibre Comfort Layer at the National Bed Federation’s 2022 Bed Industry Awards.

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