In Brief: Morrisons; CPP Group; CSL; LDC

MORRISONS has today launched its long-awaited online shopping service – ahead of schedule.

The website has launched today in the Midlands but deliveries are not available until January 10.

Morrisons said 3,000 people have access to it today and it will be rolled out to 1m households every month throughout the UK from January.

Using the slogan “From Market Street to your street”, the Bradford-based retailer will offer a ‘virtual’ butcher and fishmonger allowing shoppers to pick the exact cut and thickness of their meat and fish.

Chief executive Dalton Philips told BBC Breakfast this morning that this next step is “very important” to the business.

“We’ve had time to look at things differently and look at issues,” he said.

Morrisons will offer one-hour delivery slots with off-peak slots costing £1, a standard charge of £3 and £5 for peak delivery slots in the £200m tie-up with grocery delivery business Ocado.

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CREDIT card insurer CPP Group today announced that non-executive chairman Charles Gregson is to step down from the board.

Gregson said: “2013 has been an important year of progress, challenge and change. The foundations have been laid to stabilise the business and we have in place a strong and experienced board and management team.

“It is therefore, appropriate for me to step down in due course and hand over to a successor who will guide the group through the next phase of its development. I am especially grateful for the strong support that I have received from my board colleagues over the years and thank everyone at CPP for their on-going hard work.”

In a statement this morning, the group said its underlying operating performance has continued in line with the trends outlined in its interim management statement, which saw revenues fall 38% on last year. It also said it has added another £10m to help with the fall-out from the mis-selling scandal.

York’s CPP made an underlying operating loss from continuing operations of £3.5m in the six months to June 30, compared to a £14m profit for the same period last year on revenue of £99.7m, down from £136.9m last time. Today, it said the operating environment continues to be challenging and the group’s performance for 2013 remains in line with previous guidance.
 
The group said it is in the early stages of repositioning the business and remains focused on realigning the business model and cost-base whilst successfully completing the proposed Scheme of Arrangement to review claims and, where appropriate, pay redress to customers. CPP said significant risks and uncertainties remain in the short to medium term, particularly in relation to the Scheme, liquidity and the on-going challenges of the operating environment. Total costs and provisions made in the group’s financial statements for customer redress and associated costs have increased by £10m to £65.8m. 

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FAMILY-owned furniture retailer CSL is rebranding as Sofaworks as sales approach £100m for the first time.

The family-owned group, which has 26 stores including sites in Doncaster, Hull, Leeds and Rotherham, says it will be opening another nine outlets next year, creating 225 jobs.

By Christmas all the stores will be operating as Sofaworks as part of the company’s strategy to differentiate itself from other furniture stores.

As well as a new website, Sofaworks is launching an app and has developed its own line of sofas for the first time.

Turnover this year is set to be a record – sales are up 17% over the course of the year boosted by three new store openings in 2013 (Slough, Paisley and Solihull) alongside single-digit like-for-like sales growth.

New stores in Coventry and Stockton-on-Tees are opening before the end of the year, while the Blackburn outlet has relocated to new premises.

As a result, the retailer expects turnover for the year to December 31 to surpass £100m (2012: £89.2m).

The company’s expansion comes amid growing consumer confidence to splash out on ‘big-ticket’ items.

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PRIVATE equity provider LDC has announced that it has completed an investment to support the £17.8m management buyout of GMG Property Services, a leading provider of software services to estate agents.

Moving forward, the business, which has an operation in York, will be rebranded The Property Software Group.

LDC will take a significant stake in the business, investing alongside the incumbent management team led by chief executive Mark Goddard.

Established in 2007, GMG Property Services is the UK’s largest supplier of software, technology and design solutions to the property industry.