The chief of UK supermarket group Iceland hailed the company’s “sustained recovery” this morning (12 June), as the group posted a jump in full-year sales and profits.
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Sales at the frozen food retailer rose 16% during fiscal 2009, climbing to GBP2.08bn (US$3.42bn). Like-for-like food sales were also up 16%, marking the fourth consecutive year of double-digit comparable sales growth.
EBITDA rose 36%, to GBP163m, while net profit increased 84%, to GBP113.7m.
When chief executive Malcolm Walker took the helm in 2005, the frozen food company was struggling with falling profits and a declining market share.
Walker attributed the company’s turnaround to its focus on frozen foods. “Our range of frozen foods is unsurpassed in value, quality growth and innovation,” he said.
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By GlobalDataIceland has also “worked hard” to “offer our customers excellent everyday value in their daily purchases of grocery and chilled foods”, he added.
According to Walker, Iceland has been able to grow its market share as consumers increasingly “rediscover the benefits of frozen food”.
Figures from the Food and Drink Federation’s (FDF) Frozen Food Group, released in April, suggested that frozen food is regaining popularity.
The Frozen Food Group found 49% of consumers are looking to frozen foods to survive the economic downturn, while 70% of consumers believe that frozen food minimises waste and means less frequent shopping trips.
Looking to next year, Walker said Iceland was planning to open 20 new stores and convert 51 former Woolworths outlets to the Iceland banner.
