Bargain Booze reveals record sales

BARGAIN Booze, the Crewe-based  high street off-licence and convenience store group, has reported record sales of £395m for the 53 weeks to the end of April.

Ebitda at the company which has more than 650 franchisee-owned stores, was flat at £13m due to strong price promotions amid an ultra-competitive pricing landscape.

Bargain Booze is owned by private equity firm ECI, which has been looking for an exit in recent months. Costcutter, the convenience store group owned by Liverpool-based Bibby Line Group has been linked with a deal in the past.

Commenting on the trading figures, acting managing director Keith Webb said: “The steady growth of our revenues over the past few years highlights the strength and resilience of our business model, which is underpinned by competitive buying and first class support for our franchisees across merchandising, marketing and business development.

“We have made good progress during the current year and are investing in all areas of the business to further improve the efficiency of our operations and the backing we provide to our franchisees.”

Mr Webb said the sector was being impacted by bootleg alcohol sales, adding: “We’re also lobbying for a fairer deal for independent licensed retailers by urging the Government to take a tougher stance on duty fraud, which is hitting law-abiding and hard working shop owners in the pocket.
“We are calling for a level playing field by encouraging a clamp down on fraudsters who trade on the black market and sell alcohol untaxed and unregulated at criminal prices.

“Our plan is to step up the intensity of our activity in this area over the coming months in the run up to Christmas trading period.

Bargain Booze’s reported revenue during the year reflects the wholesale prices at which it sells products to its franchisees. At retail value the group’s sales were £557m.

The company trades under a number of fascias, which include Bargain Booze, Bargain Booze Plus, Bargain Booze Select Convenience, Select Convenience, Thorougoods and Thorougoods Select Convenience.