A year of transition
It’s been a challenging year as the McColl’s team have navigated their way through unprecedented supply chain disruption. Having transitioned 1,300 of our stores to a new wholesale supply partner, the business can now look forward to rebuilding momentum and capitalising on the opportunities that lie ahead.
The start of a new partnership
An exclusive deal bringing Safeway back to the shelves
Showcasing a great fresh offer
Competition in the grocery sector remains intense
The grocery sector remains intensely competitive and 2018 has been another year of significant change as businesses look to gain strength and scale through acquisitions, mergers and partnerships.
Three strategic goals
Growing convenience offer
Excellent customer service
Increase neighbourhood presence
Getting back on track
In approaching 30 years in the business I have never known a year as challenging as 2018. However, I couldn’t be prouder of the McColl’s team and how we have all pulled together in the midst of unprecedented supply chain disruption. We move into 2019 with a more stable and secure distribution network, and we remain a profitable, cash generative business. As we work to get back on track there are plenty of opportunities to grow.
A focus on strong capital discipline
Our financial performance in 2018 was inevitably impacted by the unprecedented disruption the business faced following the failure of a major supplier and the transition to a new wholesale supply partner. I am delighted to have joined the McColl’s Board at this crucial time for the business. As we begin to recover from a difficult period we are focused on strong capital discipline and careful cost management to enable the business to rebuild momentum and return to sustainable value creation.
*Growth in sales is a ratio that measures year-on-year movement in Group sales for continuing operations for 52 weeks. It shows the annual rate of increase in the Group’s sales and is considered a good indicator of how rapidly the Group’s core business is growing.
Net debt comprises bank and other borrowings, finance lease payables, and net interest receivables/payables, offset by cash and cash equivalents and short-term investments. It is a useful measure of the progress in generating cash and strengthening of the Group’s balance sheet position and is a measure widely used by credit rating agencies.
Adjusted EBITDA: This profit measure shows the Group’s Earnings Before Interest, Tax, Depreciation and Amortisation adjusted for both Property gains and losses and other adjusting items, in order to provide shareholders with a measure of true underlying performance of the business.