Turnover in 2012 increased from £54.5 million to £56.5m but the cost of sales also grew from £48.8m to £51.4m.
Pre-tax losses at the Glasgow company were reported as £393,967, which was 115% greater than the £182,654 loss recorded in 2011.
Writing in the accounts the directors - Munawar Hayat and Abdul Sattar - said: "The continuing recession remains a challenge for the group.
"The textile business continues to be hampered by the general decline in the UK high street although [an] increase in overseas trade has partially offset this and looks set to grow.
"There is [a] welcome return to profit for the food wholesale division but the hardware subsidiary continues to suffer from the recession. Overall the directors remain confident that, despite the challenges faced, the group's prospects remain good."
The financial statement shows net debt was reduced from £4.8m to £3.5m.
A dividend of £165,000 was paid during the year, half of the £330,000 payment noted in the previous accounts.
Average staff numbers employed across the 12 months fell from 194 to 184.