Sales at SuperValu and Centra franchise owner Musgrave Group reached €5 billion for the first time last year while profits hit €104 million, new figures show.
The Cork-headquartered supermarket and wholesale group’s accounts for last year show that new stores and growth in existing outlets boosted sales.
Revenues rose 6 per cent to a record €5 billion last year from €4.7 billion in 2022. Profit after tax increased to €104 million in 2023 from €99 million the previous year.
Pretax profits advanced to €128 million from €116 million, the group reported. Musgrave ended 2023 with €193 million in cash.
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Musgrave chief executive Noel Keeley said reaching €5 billion in revenues marked a “significant milestone” for the group. He dubbed the results a testament to Musgrave’s diversified business.
“Throughout the year we continued to invest strongly in our retail brands, providing consumers with affordable value while supporting our retailers, who are facing considerable business cost increases in what remains a highly competitive market,” he added.
Musgrave owns 15 brands, including the SuperValu, Centra, Mace and Donnybrook Fair franchises, specialist food service supplier La Rousse Foods, Italicatessen, Frank and Honest coffee and, Spanish supermarket Dialprix.
Mr Keeley cautioned that the group had a tough start to this year, with household budgets squeezed and retail, hospitality and food service customers continuing to grapple with high costs.
“Looking further ahead, we are focused on maximising the strength of our core brands as part of our strategy,” he said. Mr Keeley also noted that Musgrave’s resilience would allow it to continue investing in meeting the needs of shoppers and its business customers.
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Last year Musgrave invested €237 million, 80 per cent of it in its retail businesses and on upgrades to IT. One-fifth of the total went on buying Ritter Courivaud and Town & Country Fine Foods, both in Britain, which are now part of its food service business supplying restaurants, hotels, cafes and pubs.
Among other investments, Musgrave spent €14 million on providing deposit return scheme machines to 683 supermarkets, the biggest network in the Republic.
It also completed the €50 million spend on automating its Kilcock, Co Kildare, logistics centre which the group says will get goods on shelves more quickly.
Musgrave says it spent €17 million on upgrading its 500 trucks to high fuel-efficient and low-emission standards and began using hydrogenated vegetable oil — reprocessed cooking oil — to power its fleet.
While inflation moderated last year, Musgrave notes that suppliers continued increasing prices on many products. The group said that it absorbed commodity price rises and invested in ensuring retailers continued to offer shoppers good value.
These challenges persist, with businesses continuing to face high costs, hitting Musgrave’s retailers and food service customers, according to the group’s statement.
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