McColl’s Retail Group has achieved annual revenues of over £1bn for the first time in the year to 26 November 2017.
Like-for-like sales increased by 0.1% in the 12-month period, with similar growth in McColl’s convenience stores. But its newsagents continued to decline, with like-for-likes down by 0.2% over the same period. Results for the group remained in line with management expectations.
Total revenue increased by 18.1% for the full year, following McColl’s successful integration of 298 stores from the Co-operative Group earlier this year. However, total like-for-likes declined by 1.1% in the fourth quarter, impacted by declining traditional categories and unfavourable weather.
McColl’s chief executive Jonathan Miller said: “I am delighted to report another strong quarter of revenue growth. For the first time the business has achieved annual revenues of more than £1bn, boosted by our transformational acquisition of 298 high quality convenience stores last year, demonstrating that this is now a business of real scale.
“As we look ahead to next year, we will focus on delivering an enhanced customer offer in over 1,300 stores through the groundbreaking wholesale partnership we signed with Morrisons, which will see us launch hundreds of Safeway branded products, exclusively in McColl’s from January 2018.”
Twenty five McColl’s stores have been revamped this year with a further 100 planned for 2018 financial year. The group also announced that 18 Subway franchises are now in operation in McColl’s stores.