Co-op Group increases membership but profits dip in first half

 
Caitlin Morrison
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The Co-op Group has driven up membership numbers (Source: The Co-op Group)

The Co-op Group today announced it added more half a million members in the first half of the year - but revenue and profit dipped.

The figures

Revenue in the 26 weeks to 1 July came in at £4.64bn, down from £4.7bn in the same portion of last year.

Operating profit dropped to £51m from £72m, although pre-tax profit rose to £25m from £17m.

The group said it added more than 500,000 new members in the first half, meaning 1.1m members have joined since the Co-op launched its new membership scheme last year.

Why it's interesting

The group said it is expecting markets to remain "fiercely competitive" against a continued uncertain economic backdrop.

In food, the firm is anticipating that inflation will continue to hurt consumers' spending power and said it will remain focused on "making the shopping experience for our members and customers even better".

The first half of this year also saw the Co-op Group sell off its remaining shareholding in the Co-op Bank, after the lender agreed to a £700m rescue deal with hedge fund investors.

What the Co-op Group said

“It’s been an important six months for The Co-op Group, in which we have been able to give back to our members and their communities far more than we have for many years," said the group's chairman, Allan Leighton.

"We have also continued to lead the way in ethical commerce and campaigning on the issues that matter to our members, from championing Fairtrade to tackling loneliness and modern-day slavery.

“We can be proud of what’s been achieved, but we want to remain ambitious. The goal now is to spread the word further, while also deepening the relationship with our members and their communities.”

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