Co-operative Group profits plummet 34%

Coop Logo

The Co-operative Group, which runs around 3,000 food stores, has posted a 34% drop in operating profits to £174m for the first half of 2012, blaming fierce competition from supermarkets. Underlying sales were also down 1.2%, although the Group did announce that underlying sales at its core convenience chain were up 1.4%.

Operating profits from the Group’s banking arm were down a significant 68% to £36.9m in the 26 weeks to June 30th.

Sales in its new trial stores, however, are reported as being “very encouraging”, up 12% like-for-like.

The Group is aiming to open 80 new stores, an ambition bolstered by its acquisition earlier this year of the 28-strong David Sands chain of convenience stores in and around Fife.

Retiring Chief Executive Peter Marks commented: “A year ago, I warned that we were operating in the worst conditions that I have seen in more than 40 years in business. The results show the full impact of that, with the profitability of our two biggest businesses affected.”

  |    |    |  

Share on  

Read next

This publication contains images and information relating to tobacco products. Please do not view if you are under the age of 18 years old.

This website contains images and information relating to tobacco products. Please do not view if you are under 18 years of age.

This website contains images and information relating to tobacco products. Please do not view if you are under 18 years of age.

This publication contains images and information relating to tobacco products. Please do not view if you are under the age of 18 years old.