29 September 2016
Nisa Retail Limited
Result of AGM and trading update for half year to 2 October 2016
Nisa Retail Limited ("Nisa") is pleased to announce that all resolutions put to the Annual General Meeting (AGM) at 1pm today were duly passed.
Peter Hartley has been appointed as independent non-executive chairman following the resignation of Christopher Baker on 2 September 2016. Peter joined the Nisa Board in December 2012 as an independent non-executive director and was appointed interim chairman in August 2016. A chartered accountant with banking qualifications, Peter has extensive retail sector experience at both strategic and operations levels having held a number of CEO as well as finance director roles.
Nisa also elected two new member directors to the Board, Matthew Hunt and Sukhwinder Tiwana. They have significant membership experience and have been in the retail sector for a substantial period. Nisa's member directors are elected every three years and play an important role representing the views and opinions of the membership.
At the AGM, chief executive Nick Read provided a positive trading update for the half year to 2 October 2016 (figures for week 26 are estimated). During this period Nisa continued to trade well, building on last year's turnaround results, and reported improved H1 sales (excluding rebates) of £666m, up 1.1% on the comparable period. Nisa's focus on fresh produce was well received, with sales up 21.9%.
Adjusted earnings were £4.2m in the first half, an improvement on the £3.3m reported in the same period last year, and pleasingly Nisa returned to profitable growth, delivering H1 profit before tax of £1m. The growth was achieved with a reduction in distribution costs per case of 0.7%, a 4.0% reduction in overhead costs, and despite a margin reduced to 10.6% from 10.7% last year.
Nisa has received recognition for its turnaround, with an improved Net Promoter Score (NPS) of 52 (up from 34.5), and it welcomed 184 new member stores in the period under review.
Nisa also updated its members on the adoption of a three-year strategy to become the partner of choice for all wholesalers and independent retailers. This includes the launch of a number of key initiatives, including the further development of Nisa's award-winning own brand range Heritage.
Nick Read, CEO of Nisa Retail, said: "Last year was a stabilisation period for Nisa and we are delighted that our momentum has continued into the new year, with the return to profitable growth a clear highlight in the first half of this year. We are confident that we can maintain this momentum and further strengthen Nisa's position as the partner of choice for independent retailers. I am pleased to welcome Peter Hartley as our new Chairman, and the whole Board looks forward to working with all our members as we continue to progress Nisa for the benefit of the whole Nisa community."
Nisa supports independent retailers throughout the UK, with some retailers operating under the Nisa brand and others under their own. Nisa supplies the stock, a distribution service and retail support that enables them to grow their business.
Nisa Retail Limited
Nick Read, CEO, or Robin Brown, CFO 01724 282028
Temple Bar Advisory (PR advisor) 0207 002 1080
Ed Orlebar, Tom Allison or Alycia MacAskill [email protected]
About Nisa Retail Limited:
Nisa is a unique member owned organisation, helping independent retailers remain competitive in the food and drink markets. With the retail sector being largely dominated by the multiples, Nisa's objective is to create benefit, including negotiating the best deals on products, to allow its members to compete effectively. Nisa supports over 1,300 local retailers and over 2,800 stores across the UK. Some operate under the Nisa brand and others under their own names. Nisa supplies the stock they need and the retail support that helps them to grow their business. Nick Read was appointed CEO in February 2015, with a remit to return the business to profitability.
Full accounts are available on www.nisaretail.com
This information is provided by RNS