A.F. Blakemore’s overall sales for the financial year ending 30 April 2020 saw a decline of 7.2% to £1.05bn, having been impacted by the conclusion of the company’s cash & carry disposal and pandemic-related reductions in its foodservice business.
However, pre-tax profits edged up from £6.0m to £6.1m and net assets grew from £78.5m to £85.7m.
A.F. Blakemore & Son Chairman Peter Blakemore commented: “This was an excellent result, as the company incurred many increases in costs and provisions to meet the challenges posed by the pandemic.
“The company has enjoyed strong sales throughout the pandemic in the supply and operation of convenience stores. Great customer service, strong availability and an investment in retail pricing within our managed estate have resulted in like-for-like sales consistently outperforming our competitors.”
The SPAR retail and wholesale distribution company highlighted that it has made a number of major investments during the last two years as part of its growth plans.
Last year the company commenced construction of a multi-temperature distribution depot in Bedford. This will provide the cornerstone of its future logistics infrastructure and will be operational this spring.
In July 2020, A.F. Blakemore purchased online retailer and wholesaler Vegan Store to further diversify its portfolio of brands.
The company has also continued to invest in technology and digital platforms to enhance its online operations across B2B and B2C markets. During the first lockdown, the business launched a ‘within-the-hour’ retail home delivery service which will see further expansion in the year ahead.
In addition, A.F. Blakemore has continued to develop its Store Cluster strategy, which aims to deliver store propositions aligned to the needs of consumers, with a focus on ‘food for now’ and ‘food for later’.
Meanwhile, the company said it has “significantly increased” investment in its wholesale pricing structure, making a further £2.4m available to help retailers with their competitiveness in the market.
A.F. Blakemore highlighted that strong performance of its SPAR convenience retail divisions had helped to balance the reduction in sales across its Foodservice and Wholesale Distribution divisions, which have been impacted by the decline in business across the travel, tourism, leisure and educational sectors due to the Covid-19 pandemic.
Blakemore said: “Whilst the Covid-19 pandemic is causing market volatility, I believe the company is well-positioned to take advantage of new opportunities as a result of an increased capability to change and respond to these fluid market conditions.
“I would like to thank colleagues, customers and supply partners for their hard work and support throughout the past year, ensuring that we have continued to supply food and essential services to the communities we serve.”
