SCOTS businesswoman Michelle Mone's lingerie and swimwear business has made a six-figure loss in the wake of her marriage break-up.
MJM International produces the Ultimo range of underwear that has been modelled not only by the owner but a string of celebrities, including Rod Stewart's third wife Penny Lancaster, his former spouse Rachel Hunter, Mel B and Helena Christensen.
However, accounts lodged with Companies House at the weekend by parent firm MJM show a substantial financial loss.
In a statement, the company said: "Due to widely reported issues in the business outwith our control, we lost valuable trading time in the market during 2012 and earlier this year, which is reflected in these recent results."
This refers to her split from Michael Mone, who was also a director of the business they set up together, reportedly over his relationship with former Ultimo designer Samantha Bunn.
Ms Mone, 41, had insisted she could never work with Mr Mone again and said their firm had to be controlled by one or the other.
After the break-up, she described the Ultimo brand as 'her baby' and documents confirm that Mr Mone resigned on February 6 this year.
However, a company statement added: "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 [a South African underwear manufacturer] remain very excited about the future of Ultimo."
MJM revealed it made a loss of £547,018 in the 18 months up to October 2012.
Directors stated the company based in East Kilbride, South Lanarkshire, was still a going concern due to a change in strategy and investment from a new strategic partnership.
Prior to this period, the company reported a profit of only £1,418 in the previous 12 months prior to April 2011.
For the same period, its total turnover was £8.4 million, however this fell to £7.4m over the next 18 months up to October 2012.
Assets were also down for the Ultimo brand-led company, falling from £1.38m to just over £876,000 over the two periods.
And the end of October last year, the firm carried debts of £2.2m due within one year, and £457,000 falling due after that.
Cash in hand last October 31 was down to only £3,433 while on April 30 the previous year, it clocked in at £491,000.
In the report, directors of the company said that they expected the firm would "continue to be loss making for the next 12 months".
It stated a change in strategy and the support of MAS Holdings Limited would lead to a return to profit.
Sri Lanka-based MAS Holdings became Ultimo's business partner for sourcing and manufacturing in February this year, after Ms Mone officially severed ties with Mr Mone.
The couple had set up the company together when they created their first product, an easy-to-wear, figure-enhancing bra, after they attended a formal dinner together and Ms Mone struggled with an uncomfortable push-up bra.
Since then, the mother-of-three has received a number of entrepreneurship awards as well as an OBE from The Queen in 2010 in recognition of her services to UK business.
A former model, she has also been the face of a number of high-profile campaigns including modelling her own underwear.
She was forced to buy her husband out of the company in a £24m deal when their marriage ended in December 2011.
Mr Mone is now planning to set up a rival lingerie firm with his partner, MJM's former chief designer, Samantha Bunn.
Ms Mone did not make reference to the financial situation on Twitter after the accounts were filed, preferring instead to tweet about her upcoming house move.
She tweeted: "So excited, start moving into my new Scottish home on Mon. Hope you have a great weekend #newbeginning".
The documents also reveal charitable donations by the firm in the 18 months up to October last year. A total of £11,000 was made, with £6000 donated to Children with Cancer UK, and £2000 given to the Celtic Charity Fund.
Mrs Mone also sanctioned the payment of £3000 towards the repatriation of the body of Barry Hesford, who died on holiday in Ibiza, Spain.
She brought the body of the 21-year-old Glasgow construction worker home after he drowned in a hotel pool at the beach resort of San Antonio.
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