home / annual
report
annual report
The Board of Directors is pleased to present its report for the year ended 26 January 2008.
The Society has enjoyed a most successful year of trading, with all the core businesses recording increases in sales and
profitability. The financial review that follows highlights that trading profit, excluding the effects of FRS17, has increased
by 25% to over £15m and that the net assets of the Society have increased to a record £297m.
The main factors contributing to the year’s trading success have been the resilience of the Retail food business in the face of
intense competition and long periods of very poor weather in the summer, and the recovery in the Travel business, which achieved
record profits, benefiting from the integration of the Ilkeston travel shops and the poor weather.
These results are particularly pleasing when viewed in the context of general economic and competitive retail environment.
In 2007, several very strong years for the general retail industry came to an end, as the consumer boom, fuelled by easily
available credit and minimal price inflation, slowed significantly.
In the second half of the year, consumers faced increases in many basic household costs and although interest rates peaked, the
full effect of earlier increases on fixed rate mortgages, whose terms were coming to an end, also began to impact on disposable
incomes. In August, the financial markets began to recognise the negative effects of the “credit crunch”, but the hope was
that this would not spread to the wider economy. Six months later the extent of the problem is still uncertain, but the action
of lenders to tighten access to credit available to individuals is affecting their capacity as consumers. The Society cannot
expect to be immune to these factors.
At the end of August, the Raunds Co-operative Society, in Northamptonshire, transferred engagements to become part of Midlands
and their members were warmly welcomed. Investment and refurbishment are now planned for the foodstore and non-foodstore that
serve the town. This continues the Board’s policy of actively encouraging neighbouring Societies to join Midlands.
Annual Report Downloads
2008 Annual Report
2007 Annual Report and 5 Year Financial Comparison
2006 Annual and Interim Reports
You will need to have Adobe Acrobat Reader installed on your computer
in order to read these files. If you don't have it installed, you
can download Acrobat Reader here.
To obtain a printed copy of the 2008 annual report, please contact us by
post with your full name and address. We will send you a copy by post.
Please note we cannot post copies outside of the UK.
Corporate Affairs Department
Midlands Co-operative Society
Hermes Road
Lichfield
Staffordshire
WS13 6RH
^ back to top