Directors at Coopland & Son (Scarborough) have said there is little prospect of a strong high street recovery, despite reporting a 16.5% rise in turnover to £32.5m for the financial year.
As part of the company’s latest financial results, published last month on Companies House, for the year to 31 March 2012, a report from the directors said: “During the coming year, we expect trading conditions to remain challenging, with little prospect of a high street recovery. The forecast of increases in key raw material costs, partly due to inclement weather, and the upward pressure on utility costs, lead us to believe that the period will be challenging.”
Coopland’s directors added that given the above, combined with the costs of acquiring 22 retail outlets and a production facility from Durham-based Peters Bakery last July, they would expect the company’s short-term profitability to fall. This is despite the company recording a 4.36% increase in operating profit to £1.41m during the financial year.
The firm also revealed that capital spend had risen to £2.8m during the period, compared to £1.6m reported in the previous year, and bank borrowing had risen by £110,000 to £840,000.
Back in November, Coopland recognised trainee bakers undertaking an in-house apprenticeship programme at its new bakery college last November.