East of England Co-op returns to profit with £4.6m turnaround

Why it matters: This represents a £4.6m financial turnaround and fulfils a three-year ambition to restore profitability, despite ongoing economic challenges affecting businesses across the region.

The big picture: The independent retailer, which operates food stores, funeral services and travel branches across East Anglia, credits its commercial success to a year of investment and reshaping its business portfolio to better serve local communities.

By the numbers: The East of England Co-op has:

• Expanded into a fifth county with its first Hertfordshire food store in Bishop's Stortford

• Supported more than 700 charities and good causes over the past year

• Directly helped over 140,000 people through its Community Cares Fund since 2020

What they're saying: "We're proud to be announcing a return to profit this year. This is an ambition we've been working towards for the past three years so it's a moment for us to celebrate as we mark the start of an exciting period of growth," said Andy Rigby, Chief Executive Officer for the East of England Co-op.

Between the lines: The retailer has made difficult decisions to achieve profitability, including:

• Closing its stonemasonry business H.L. Perfitt

• Proposing to lease three supermarkets to new operators

• Placing 13 branches across its food and funeral businesses on the market for sale

• Marketing its central office, Wherstead Park, for sale

The other side: Despite the positive results, Rigby acknowledges ongoing challenges: "Rising costs are still having an impact on businesses and communities in our region and across the country. We're continuing to feel the impact of this challenging financial situation."

Looking ahead: The 155-year-old retailer faces both opportunities and challenges in 2025:

• Plans for new stores and branches are in development

• Its refurbishment programme will continue

• The business will need to absorb increases in the National Living Wage and National Insurance contributions

The bottom line: The East of England Co-op's return to profit enables continued investment in its estate and technology while maintaining its community support programmes, ensuring the cooperative can be sustained for future generations.