Losses narrowed at farm, construction and groundcare machinery company Ravenhill Ltd last year.
Accounts filed with Companies House reveal the firm, which has depots in Aberdeen, Dingwall, Elgin, Maud, and Turriff, posted pre-tax losses of £360,169 for the year ending December 31 2017.
This compares to pre-tax losses of £416,878 the year before.
The business, which specialises in New Holland, Kuhn, Kubota and Merlo machinery, experienced a 27% drop in turnover to £24.626 million, from £34.013m previously.
In a report accompanying the accounts the firm said it completed its withdrawal from the West Midlands in the first quarter of 2017.
It added: “The market was subject to ongoing uncertainty, but conditions improved during the year and there was an upturn in the trading performance of the business in the north-east of Scotland, which has continued into 2018.
“The reduction of branches has been difficult, but the directors believe the company is now better placed to proceed with its longer term plans.”