Pre-tax profits increased by 10.7% to £3.4m for the year ending 30 April 2022, with margin up by 0.3% to 23.3%. Turnover was down slightly, by 0.1% to £212.3m.
The Dundee-based company said the results had been delivered against the backdrop of an “extremely challenging economic climate that continues to drive changes in shopping behaviour”.
It said the relaxation of Covid-19 restrictions had seen a return to some pre-pandemic shopping behaviours, while the habits of shopping locally “were retained by a noticeable proportion of consumers who had discovered the benefits of shopping at their local convenience store”.
CJ Lang company-owned stores, which now number 107, had grown in profitability, aided by the acquisition of a new outlet in Dalbeattie, Dumfries and Galloway, the first addition to the portfolio in more than five years.
A further company-owned outlet opened in Troon, south Ayrshire, earlier this week.
The wholesaler’s independent estate has also expanded, and now numbers 203 outlets with the Spar fascia above the door.
Recent high-profile additions have included the four-strong David Sands Group
CJ Lang & Son chief executive Colin McLean said: “The previous 12 months saw changes continue in the retail landscape as we finally emerged from Covid-19 to move into the cost-of-living crisis and a very uncertain future globally.
“We know there are tough times ahead for all and our primary focus is to offer a value proposition to help support our customers and staff through the ongoing uncertainty.
“Being solely Scottish-focused has enabled us to adapt quickly and react flexibly to the changing retail landscape and to continue to provide a first-class service to our independent retail customers, consumers and communities at a time when they have needed us most.”
He said the wholesaler had made “significant investment” within its company-owned stores over the past 12 months, including upgrades to its outlets Crosshouse, Gatehouse of Fleet, Spean Bridge and Balmacara.
In 2021, £2m was invested in the roll-out of a new food-to-go offer, CJ’s, across company owned stores and in 2022 there has been a continued focus on enhancing this offer, McLean said, as well as improving and implementing consistent store standards while investing in the store estate.
He added: “Despite the changing landscape, we remain committed to our strategy for profitable growth. We have continued to implement our key pillars across the business, including investing in our food-to-go offering, improved profitability and pricing, and optimising our distribution processes.
In growing its independent estate, McLean said the group was “focusing on quality rather than quantity, ensuring that retailers with our name above the door adhere to our standards with appropriate remedial action being taken on those who fail to maintain them.”
