Family firm Dicksons has increased revenues and narrowed losses despite pressures from increasing costs.
The South Shields-based business, which supplies meat and bakery goods within its North East network of shops as well as in supermarkets and other stores, has released accounts for the year ending June 2024. Revenues grew by almost 6% to £18.7m while operating losses were reduced from £203,000 to just under £50,000.
In the accounts, managing director Chris Hayman said an easing of inflation for raw materials was offset by increasing wage and energy costs. It said cost pressures from last year’s Budget “came as a blow” but the company was still looking to invest in its estate and add new stores.
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The company said it would be developing more salad and protein offerings to expand its product range and also highlighted a project to improve the retail experience in its stores, starting this year. It said coffee sales had continued to develop since a link-up with fellow North East firm Ringtons and investment in barista coffee machines.
The accounts show that the firm’s headcount rose slightly to 332 during the year.
Mr Hayman said: “Overall it was an exciting time, our family business continued to expand with the launch of two new Dicksons stores by the end of June 2024. Plus, we’ve even added a further two sites to our portfolio since then.
“We saw total revenue grow by 5.95% to £18.65m, with very strong sales in the first two quarters of the year which was very promising. While raw material costs have grown at a slower pace, when compared to previous years, wage inflations have added to the upward cost pressures
“Like many companies we took a huge hit following the Government’s October Budget. Our hopes of seeing some of the cost pressures ease in 2025 are now less likely. We did everything within our power to absorb the rising expenses, but price increases did occur on some of our products.
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“However, in a bid to ease soaring energy bills we have already made significant investments. This has included installing solar panelling and signing a more efficient energy contract which will help reduce our carbon footprint and bills.
“Meanwhile our coffee market has continued to thrive after teaming up with fellow North East family firm, Ringtons. We are also aiming to create more ready-to-eat salad and protein options as developing new products is of uttermost importance to us.
“We are committed to giving our hard-working and loyal customers the best experience possible when visiting our stores. We’ve already started to roll out our rebranded new look at our newest sites and we hope to be opening two more shops by the end of 2025.
“Running a family company can at times be challenging, often due to factors beyond our control, but it’s worth it knowing we are supported by a fantastic workforce who give our customers a first-rate experience while serving top quality produce. This is something which we believe Dicksons does best and sets us apart from the market.”