Cooplands Bakery has announced financial results for the 39 weeks to 31 December 2022, with a ‘challenging period’ causing the chain to report a loss despite growth in sales.
Revenue for the period was £56.2m with loss before tax of £10m. This compared to £68.1m in revenue and a loss of £770,726 for the year ended 31 December 2022.
Increases in raw material costs and the 2021 decision to pay above minimum rate for wages had a significant impact on the business, according to its latest accounts on Companies House.
In 2022, the c200-strong chain closed its Hull bakery and absorbed its production into remaining bakery facilities, with the closure completed in July 2023. This is expected to reduce overhead costs and lead to greater synergies through production.
Going forward, Cooplands stated that the economic outlook remains uncertain, with margins likely to continue to be challenged and consumer incomes remaining under pressure.
It continues to look for ‘innovative solutions’ to offset these pressures while maintaining levels of product quality and customer service.
There remains a focus on procurement strategy, complemented by further investment in the procurement team, and continued exploration of opportunities to leverage the economies of scale gained through the wider group.
