The china and ceramics company Royal Doulton has reported a £10.5 million sterling (€16.6 million) pre-tax loss in the six months to the end of June. Sales were down 6 per cent on the same period last year to £82.4 million, reflecting lower demand in the British and North American markets. Gross margins fell slightly from 43.3 per cent to 42.1 per cent.

However, net operating costs fell by 11 per cent to £44.1 million and the operating loss was reduced by 16 per cent to £9.4 million.

Waterford Wedgwood holds a 14.9 per cent stake in Royal Doulton. This is seen as a strategic stake in case another company wanted to acquire Royal Doulton.