The lingerie and swimwear firm led by Michelle Mone has recorded a financial loss of over half a million pounds.
The news follows the bra tycoon’s announcement in February that she was teaming up with MAS Holdings after cutting business ties with her former husband.
MJM, with its Ultimo-led brands, logged with Companies House a loss of £547,018 in the 18 months to October 2012.
In accounts for the previous 12 months, the firm made a profit of just £1418. The company has seen turnover fall by almost £1 million to £7.4 million since then.
Mone is understood to have held 142 shares in MJM while her husband had one more with 143. The couple split in 2011.
In a statement, MJM said: “Due to widely reported issues in the business outwith our control, we lost valuable trading time in the market during 2012, which is reflected in these recent results.”
The loss was expected, according to a company spokesperson, and the firm is set to stay in the red for the next 12 months. But with the support of MAS and changes in strategy, it believes MJM will return to profit.
“What the results do not reflect is the strength of investment from MAS Holdings that has put the company in a solid, competitive position for moving forward. Michelle Mone and MAS Holdings remain very excited about the future of Ultimo,” the statement continues.
The Ultimo range of underwear has been modelled by a string of celebrities including Penny Lancaster, Mel B and Helena Christensen.
Sri Lanka-based MAS Holdings is now Ultimo’s business partner for sourcing and manufacturing.