Tanners Wine Merchants will continue to expand the business in the coming months despite its pre-tax profit having halved, according to results posted at Companies House.

The family-run wine merchant, which is 44th in the Top 50 published this week, refused to discuss the accounts for the year ending May 2008, in which pre-tax profit fell from £623,000 to £312,000.

Administrative expenses increased by £288,000. But private sales director Robert Boutflower maintained the business was "doing well". "We have done some good mail order offers," he said. "The shops have held up well and I don't think it's quite as gloomy as everyone is portraying it."

Tanners would open a store in the next few months at Terry Platt Wine Merchants in Llandudno, a delivered wholesaler it bought in 2005, he confirmed. "We will be going ahead with the shop even in these awkward times," he said. "It should be relatively, cheap, easy and quick. We have the space, we know how to do retail, so we thought: let's do it. We think we can pick up more local trade."

The company was installing new IT that "will take us forward in terms of marketing and customer service", he ­added.