Parfetts, the employee-owned wholesaler, has announced a rise in pre-tax profit to £3.6m for the financial year ending 30 June 2014.

Pre-tax profit increased from £3.4m on the previous year, while turnover rose by over 3% to £308.76m “in spite of the ongoing economic challenges”, said managing director David Grimes.

“Our continued success is entirely due to the dedication and hard work of our employees and we are extremely grateful for their commitment and loyalty,” he added.

Highlights of 2014 included its Sheffield depot celebrating 10 years of trading and the completion of a modernisation programme across all six depots.

Its Go Local symbol group, which was estalished two years ago, now has more than 100 retailers, while over 1,000 retailers are taking advantage of Go Local Retail Club promotions.

But Grimes warned of continuing challenges for Parfetts and the wholesale sector. “The markets in which we operate remain highly competitive and duty fraud is still a major problem,” he said.

“The number of convenience stores opened by the multiples continues to increase and the impact on our retail customers is huge - we are doing as much as possible to help them to develop their businesses to compete with this threat.”