Musgraves to expand with 20 new stores

The SuperValu/Centra chains are due for further expansion in this country with an extra 20 stores opening by the year’s end, Musgrave Group chief executive Chris Martin has disclosed to the Evening Echo.

The food wholesaler now services 535 stores in this country, 182 SuperValu stores and 353 Centra outlets.

The company also sells to 114 stores in the North.

It also services independent retailers and food service operators in Britain and Spain.

The group employs 40,000 people, 24,000 of whom work in this country.

The highlights from the company’s report for 2004, in which plans for expansion were announced, show that the family-owned company with its headquarters in Cork had:

A turnover of €3.76bn last year, up 13% on the previous year.

Net profits to €51.5m, an increase of 20%.

Its Londis GB had a turnover of Stg£1.5bn.

Group chairman Hugh MacKeown said it was a year of record sales, profits and dividends.

Their strategy was to be a successful international food distribution group, with significant operations outside the island of Ireland.

“With the acquisition of Londis GB, we now have the ability to establish a business across Britain which supports the independent retailer.”

Chris Martin, making his first report as group chief executive — he succeeded Seamus Scally who retired recently after 38 years in the job — said the plan was to replicate the Irish business model in their overseas network.

The strong sales in this country were continuing into this year.

In the UK, the Budgens and Londis operation would now need to be supported by a major programme of investment in supply chain and systems.

This investment would take several years.