Furniture Village has recorded a surge in profits for the year and cleared its bank debts as it gears up to relaunch its website.

The independent furniture retailer posted EBITDA of £8m for the year ending March 29, a year-on-year increase of 43%. During the period pre-tax profits hit £4m, up from £1.6m.

Profits soared after a rise in sales and average transaction values. The average sale has increased by £100 at Furniture Village from £1400 and £1500.

Its bank loan was fully repaid during the period, which meant the net debt position at year end was positive £7.3m, a £7.6m improvement on the previous year.

Furniture Village chief executive Peter Harrison said the clearing of the debt will give the retailer greater freedom and allow it to invest more in initiatives such as store expansions and infrastructure.

The retailer has invested £800,000 in a soon-to-launch ecommerce platform, which Harrison says will be “10 times better” than its previous website.

Furniture Village aims to open around five stores a year going forward as it targets a total of 60 shops.

A new branch is poised to launch in Enfield this August Bank Holiday weekend, to be closely followed by a store in Northampton.