Midcounties Co-op has announced an increase in gross sales, revenue and operating profit in its annual report for the year to 25 January.
The society says the performance was driven by strong growth in its Early Years and Travel businesses – gross sales for the Travel business reached £786m, up £36m on the previous year, while Early Years rose by £3.9m to £48m.
Food also saw like-for-like sales increase by 1.3%, with gross sales excluding fuel reaching £616m.
Overall, the society’s gross sales exceeded £1.5 bn and operating profit before significant items increased 16% to £11m for the year.
The society adds that it continued to support its members throughout the year, including through an expansion of member-only deals across its food stores. These discounts saw members save more than £7.5m over the year – an increase of more than £5m from last year, says the report.
These improved discounts and additional member benefits helped attract more than 113,000 new members, says the society, and saw it achieve its highest ever level of member trade: 44% of all sales came from members, up from 37% in 2023-24.
The society says it continued to invest, with the opening of three new food stores and two new nurseries, including the establishment of a Little Pioneers nursery at its Warwick HQ, which will act as a test bed for innovation.
Midcounties also continued to expand its award-winning employability initiatives, says the report. These include several regional partnerships, including Fairer Futures in partnership with Birmingham social enterprise, Miss Macaroon, and the Fairer Access to Work scheme, a collaboration with the charity Aspire Oxfordshire. The initiatives are aimed at removing barriers and providing fairer access to employment, and have helped more than 50 people over the last 12 months.
The Society launched its Doing Good Together Fund in September which provides small scale grants to locally-based community good causes. Through this fund and its other giving programmes, the society says it donated £287,000 to good causes over the course of the year.
As part of its member-led ESG strategy, and in partnership with Big Solar Co-op, the Society began installing solar panels at a selection of its sites. It also partnered with energy specialist LoweConnex to install automation technology in its refrigeration and temperature control units across more than 100 of its food stores. Through this, says the report, Midcounties cut energy usage by 6%, saving around 2m kWh of electricity and over 400 tonnes of CO2.
“It is pleasing to have reported solid growth in revenues and profit in what have been challenging trading conditions,” said CEO Phil Ponsonby. “The performance of the society allows us to continue to deliver on our purpose of creating a fairer, more sustainable and ethical future. We know that by doing good together we can create a brighter tomorrow.
“We also know that 2025 will be another challenging year. Rising operating costs for us and our suppliers, in particular the increase in Employers’ National Insurance, and ongoing geopolitical uncertainty means we are forecasting a downturn in profitability this year. With these factors in mind, the society will continue to take the necessary decisions to allow ongoing investment, provide support for our members and make a meaningful and positive impact in the communities where we operate.”
