The directors have plans for a new garden centre at Garforth in Leeds, following the closure of an old outlet there in June 2014, to redevelop the company's garden centre at Stokesley in North Yorkshire, including the building of a large restaurant.
Similar redevelopments will be "explored" at the company's garden centres at Edinburgh, Polmont, and Northwich in Cheshire.
They report: "The challenges of the economy remain but the board has every confidence that its redevelopment strategy, linked with favourable demographics, will continue to drive forward both sales and profitability."
On the three months to December 2013, the report said: "In the first quarter [of the financial year] we experienced solid sales growth of both Christmas and gift-related product, and the relatively mild winter resulted in consistently good footfall to the garden centres."
It adds: "The first and second quarters saw the return of better weather in the key spring trading period and, in particular, the months of March and April. This was in contrast to the low temperatures experienced in the early spring of 2013.
"The improved spring weather resulted in increased sales of all garden-related products. This period was followed by a second successive year of generally warm, settled weather throughout the summer months, which had a positive effect on the sales of garden furniture and barbecues."