Midcounties Co-operative announce record profits | Industry News | TalkingRetail.com

The Midcounties Co-operative has defied tough economic conditions with a 35% increase in trading profit to a record£26m.

The member-owned community retailer announced its year end results for 2010/11 and will recommend an increase in its dividend from 1.5p to 1.8p per point to ensure all its members share in the Society’s success.

Its food stores, travel branches, pharmacies, funeral homes, childcare nurseries and employee benefits businesses all helped to ring up a 3.4% increase in total gross sales (excluding the figures for its Motor Group, which was sold in January last year).

The regionally focussed retailer also expanded outside its core area by growing its network of nurseries and this summer it will launch its new nationwide Co-operative Energy business supplying electricity and gas to the public. It is the UK’s only energy supplier that is owned by and rewards its members.

Chief executive Ben Reid said:“It has been a very challenging but rewarding year and now we have to focus on the future. There is every indication that the economic climate is going to remain difficult and it is into these conditions we will be launching Co-operative Energy and developing Co-operative Childcare.

“We are really optimistic that both ventures will quickly establish a foothold in the market. It is exciting for a regionally based society to be extending its reach in this way, and we believe that with the continuing engagement of our colleagues and support from our membership we can continue togo from strength to strength.

The annual report for the 52 weeks to 22 January 2011 details are: 

• Trading profit up 35% to£26m (£19.3m 2009/10)
• Food (30%) and Pharmacy (23%) showed the largest growth in profits
• £2.9m distributed to members as a share of the profits 
• Buffer Bear chain of 24 nurseries acquired

Source: The Midcounties Co-operative

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