The loss follows the company’s substantial investment in future products.

The firm’s turnover fell by 3.8% to £15.7 million, a figure which Linn Products labelled as “healthy”.

Linn Products’ sales in the UK and Republic of Ireland were stagnant at £4.18m whilst turnover achieved throughout the rest of Europe fell from £6.63m to £6.52m. Simultaneously, sales in the USA decreased from £2.29m to £1.99m. Sales to the rest of the world fell from £3.24m to £3.02m.

The company said it had invested £2.374m into research and development in the year to June, up by £325,000 on the previous 12 months.

The firm said that this investment had enabled the development of new concepts, software and products, including the Series 3 wireless speaker and a new Linn app.

In addition to upgrades to existing products, 2018-19 saw the rollout and global launch of Selekt DSM, an innovative digital streamer that can be customised and upgraded to suit the owners’ needs and lifestyle.

In order to reach new markets and to showcase Linn’s innovative range, 2019 also saw Linn invest in a new flagship concession in the Technology Department of Harrods’ Knightsbridge store. 

Gilad Tiefenbrun, Linn managing director, said: “Trading conditions continue to be challenging reflecting consumer uncertainty, particularly in European markets. By continuing to invest in Research & Development we are building the skills, capability and products that will continue to delight our customers for years to come.”

“The global rollout of Selekt DSM with its sleek design and configurability has been very well received. Our latest innovation, Series 3 is the culmination of nearly 50 years of audio innovation and Scottish precision engineering, driven by our unwavering passion for music. Offering high-performance audio quality combined with the convenience of wireless, Series 3 will change expectations of what wireless speakers are capable of.”