Employee owned Parfetts rewards staff after record sales growth
Stockport-headquartered retail distributor Parfetts will release audited accounts showing that sales topped £634m in the last year.
The employee-owned business has grown rapidly, expanding its Go Local fascia to over 1,100 stores.
The increase in like-for-like sales of 4.7% on £605m in the last financial year comes after a year of investment into protecting retailer margins through an expanded promotional programme, including major events like the company’s annual Parfest.
The result means all eligible Parfetts colleagues were awarded a 4% tax-free sales bonus in July.
Pre-tax profits dipped to £5.6m last year from 2021’s £14.5m on rising turnover as Parfetts saw costs rise. But no dividend was paid and £4.5m of profits were transferred to reserves.
Commenting on the upcoming results, Guy Swindell, joint managing director of Parfetts, said: “We’ve placed our retailers at the heart of our business. As an employee-owned company, we can invest in creating great margins and providing a great experience whether you come into the depot or order online. As we continue to expand, we are seeking to aggressively grow our Go Local, Go Local Extra and The Local fascias. While our new depot in Birmingham has raised the bar for the industry and gives us a base to service the Midlands and M40 corridor.”
Parfetts saw record sales of over £21m in the week to 14 July thanks to Parfest, the company’s annual celebration of the convenience sector. Parfest 2023 saw all eight Parfetts depots enjoy a week of deals, free festival food, music and supplier activations. The week-long event was built around 500+ deals on over 1,000 products designed to help retailers increase margins.
The company is also investing in reducing its carbon footprint by rolling out LED lighting and solar panels at its depots across the UK. The move will also generate cost savings that help drive value across the business.
Noel Robinson, joint managing director of Parfetts, said: “It’s essential that our retailers enjoy a best-in-class experience however they choose to do business with us. Parfetts has increased investment in its digital platforms and logistics to ensure our delivery offer is reliable and scaleable.
“Parfetts is seeing online orders grow, and they now account for 40% of our total sales. This has been achieved without a drop in cash and carry sales. Online allows us to extend our geographical reach and support more retailers.”
Parfetts operates depots in Aintree, Anfield, Birmingham, Halifax, Middlesbrough, Sheffield, Sommercoates and Stockport. Its operations cover Northumberland to Wales, the Midlands and Northamptonshire.
