Continued implementation of strategy delivers positive results

Scottish SPAR wholesaler and leading convenience retailer CJ Lang & Son Ltd has reported an increase in profit as it continues to implement its strategy for profitable growth. Solid growth of more profitable sales for the company saw pre-tax profits increase 10.7% to £3.4m with margin up 0.3% to 23.3%.  Turnover is down slightly, (0.1%) to £212.3m. The long-established Scottish wholesale and community convenience store business, based in Dundee, has published its financial statement for the year ending 30 April 2022.

The results have been delivered against the backdrop of an extremely challenging economic climate which continues to drive changes in shopping behaviour. The relaxation of COVID-19 restrictions saw a return to some pre-pandemic shopping behaviours, while the habits of shopping locally were retained by a noticeable proportion of consumers who had discovered the benefits of shopping at their local convenience store.

Despite the challenging conditions, Company Owned Stores have grown in profitability, aided with the acquisition of Dalbeattie, the first such addition to the portfolio in over 5 years. Continuing to collaborate closely with their independent retailers, the team at CJ Lang & Son have also expanded the independent estate across the country, regularly engaging with them to drive growth to all customers. This includes the recent announcement as one of Scotland’s most successful convenience retailers, David Sands, joins SPAR Scotland.

CJ Lang & Son Ltd CEO, Colin McLean, commented: “The previous 12 months saw changes continue in the retail landscape as we finally emerged from COVID-19 to move into the cost-of-living crisis and a very uncertain future globally. We know that there are tough times ahead for all and our primary focus is to offer a value proposition to help support our customers and staff through the ongoing uncertainty. Being solely Scottish focussed has enabled us to adapt quickly and react flexibly to the changing retail landscape and to continue to provide a first-class service to our independent retail customers, consumers and communities at a time when they have needed us most.”

The family-owned company has delivered its fourth year of growth in profitability, continuing to outperform the Scottish Retail market. Investments have been made in key resources, both within the Board and Executive Management Team to bring onboard further skills and experience, and within Company Owned Stores, with significant investment in Crosshouse, Gatehouse of Fleet, Spean Bridge and Balmacara in the last 12 months.

In 2021 £2m was invested in the roll out of an exciting new food to go offer, CJ’s, across Company Owned Stores and in 2022 there has been a continued focus on enhancing this offer, as well as improving and implementing consistent store standards whilst investing in the store estate.

McLean added: “Despite the changing landscape, we remain committed to our strategy for profitable growth. We have continued to implement our key pillars across the business, including investing in our food to go offering, improved profitability and pricing, and optimising our distribution processes.

“In September 2022 we undertook our biggest ever tradeshow event, with over 800 delegates enjoying the Scottish Highlands in Aviemore. This event was key for engaging with our people, communicating with our suppliers, customers and colleagues on our strategy and successes while introducing new products and services to the marketplace and sharing our plans for the future of our business.

“We also continued to grow our independent customer base and make improvements to our offer to meet the changing customer needs within convenience retailing. We are now attracting the best of Scottish retailers to join SPAR Scotland thanks to our competitive wholesale package, but we are also focusing on quality rather than quantity, ensuring that retailers with our name above the door adhere to our standards with appropriate remedial action being taken on those who fail to maintain them. With our vision of developing a solid business not just for today but for tomorrow too, we have grown independent sales, and are excited to welcome on board more retailers in the future and further expand our relationships.

 “Our stores cover all sizes of communities across Scotland; our customers are our neighbours. I would like to thank them all, along with our suppliers and our colleagues, for their continued support,” he concluded.