McColl’s Retail Group has announced a 1.9% decline in like-for-like sales for the year to 27 November 2016, with its premium stores performing better than its standard convenience stores.
Like-for-like sales at the premium stores dropped 1.0%, compared to a 3.3% decline in newsagents and standard stores, according to the group’s preliminary annual results.
Total revenue increased by 1.9% to £950.4m, marking a sixth consecutive year of growth, while pre-tax profit fell to £17.7m from £21.2m in 2015. During the financial year, 58 new convenience stores were acquired, bringing the total to 1,001.
In the 13 weeks to 26 February 2017 (Q1 of the new financial year) like-for-likes sales fell by 1.3%. The integration of the 298 stores it acquired from the Co-operative Group was “progressing well”, with the first store opening in Canvey Island on 31 January and more than 20 outlets now trading as McColl’s, the group said.
Chief executive Jonathan Miller said: “2016 has been a pivotal year for McColl’s during which we were firmly established as a leading convenience retailer, delivered good financial performance in line with expectations and laid the foundations to deliver significant growth in the years ahead.
“With new appointments to our management team and a refreshed strategy in place, we are ready to begin the next stage of our journey to become your neighbourhood’s favourite shop.
“We are pleased to have recorded our sixth successive year of revenue growth and to have met our target of operating 1,000 convenience stores, which truly marks the completion of our journey to become first and foremost a convenience business.”