Record half-year profits at West Midlands

WEST MIDLANDS Co-op has posted record half-year profits of nearly &#163 2.3 million. Chief Executive Ben Reid said the 4.3 per cent increase on the same period last...

WEST MIDLANDS Co-op has posted record half-year profits of nearly &#163 2.3 million.

Chief Executive Ben Reid said the 4.3 per cent increase on the same period last year was a remarkable achievement in a difficult trading environment. Turnover also hit a new high, rising from &#163 77.9 million to &#163 85.7 million, an increase of just over ten per cent.

Mr Reid said the society&#039s management and directors were confident the good results would continue, resulting in `a very significant trading result` for the whole 12 months.

`The increase in profitability of 4.3 per cent is a clear indication that the improvements made to the society&#039s trading position over the past few years have now been consolidated,` said Mr Reid. `There is now a robust platform upon which to build the long-term success of the society.`

The figures, revealed in the Directors&#039 Report, are for the 26 weeks which ended on March 24th. Balance sheet assets now stand at &#163 60.3 million.

Mr Reid said the society&#039s convenience stores and supermarkets had performed well in the face of intense competition in the sector. Turnover in the Food Division rose by 3.5 per cent on a like-for-like basis.

After several difficult years, turnover in the Travel Division took a significant step forward, up by 22.4 per cent and the Funeral Division made a very positive start to the year, with an increase in the number of funerals conducted and an overall increase in market share.

In Pharmacy, a range of Government initiatives had created uncertainty and significant challenges, claimed Mr Reid.
`It is, therefore, a real tribute to the commitment of our employees that this division goes from strength to strength,` he said.

Two important initiatives were gathering momentum; the development of a model pharmacy combining a range of professional support services in a single branch, and a ground-breaking training programme to ensure pharmacy staff are fully equipped to respond to the challenges of ?the new NHS&#039.

Occupancy levels in the society&#039s care homes had improved and the directors remain convinced the co-operative sector has a key role to play in providing support for older people.

During the six months West Midlands Co-op&#039s Community and Membership Development Committee awarded a total of &#163 20,725 to community schemes in its trading area.

Society employees also gave a considerable amount of time to local schools, including industrial mentoring, Young Enterprise projects and educational in-store visits, making a major contribution to the workforce of tomorrow.

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