UK's Co-Op Group Returns To Profit In First Half

The UK’s Co-operative Group, also known as the Co-op, reported a profit in the first half as its quick commerce business offset cost inflation.

Britain’s seventh-biggest supermarket chain also cited a growth in membership numbers as helping the retailer return to profit.

In January, Co-op set out to open more stores and recruit more members as it sought to reverse a decline in grocery market share.

It had experienced a decline in market share in 2023 after maintaining profit the previous year, despite inflationary pressures in food, energy and wages.

The 180-year-old group operates almost 2,400 food stores and also runs funeral, insurance and legal services businesses,

Revenue rose 1.5% to £5.6 billion in the first half, driven mainly by its food stores and legal services.

The group said it planned to open 120 new food stores across retail and franchise by the end of next year.

Underlying profit before tax was £3 million for the six months to June, compared with a loss of £9 million a year prior.

Speaking about the return to profit, the chief executive of the co-operative group Shirine Khoury-Haq said, “Although the external environment remains challenging, it is a testament to the underlying strength of our Co-op that we have outperformed in all our markets.”

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