Scottish clothing retailer Mackays Stores Group, operating as M&Co, has reported its best trading performance in five years.
And the company said yesterday it was poised for further growth by targeting women over 40 “shopping for herself and her family”.
M&Co sells women’s, men’s and children’s clothes as well as homeware both online and in stores throughout the UK.
Its north-east and Moray coast branches include outlets in Stonehaven, Inverurie, Peterhead, Fraserburgh, Banff, Buckie and Elgin.
Further north, it has shops in Oban, Fort William, Nairn, Inverness, Dingwall, Wick, Thurso, Kirkwall and Lerwick.
Pre-tax profits for the 53 weeks to February 26 came in at £1.51million, against losses totalling more than £2.9million over the previous year.
M&Co said an “excellent” spring/summer season was followed by a more challenging autumn/winter period due to poor weather and “the discount environment which prevailed on the high street in the run up to Christmas”.
But the company still achieved higher turnover, with total sales growing to £163.2million, from £160.4million previously.
The Paisley-based business said it also enjoyed a “strong performance” in the first half of its current trading year despite cost pressures.
Andy McGeoch, who took over the reins from his father, co-founder Iain McGeoch, as chief executive just last year, added: “We are pleased to report our best financial performance in the last five years.
“Turnover increased both on a total and like-for-like basis, with gross profit margins also improving.
“Ebitda (earnings before interest, tax, depreciation and amortisation) for the year as a whole increased by 57% to £9.4million.
“Debt reduced by £6.6million during the financial year, to £11.6million, and new five year facilities were agreed with HSBC prior to the year end, providing the platform to grow the business further in the future.”
Mr McGeoch junior said a programme of refreshing the appearance of the company’s 260-strong UK store portfolio was well underway, with more than 80 already benefiting from refits.
He added: “As M&Co’s target customer is a 40-plus-year-old shopping for herself and her family, we believe that the business is ideally placed to take advantage of the demographic growth in this market.
“With the resurgence in local shopping our store portfolio, which is largely located in prime positions in market towns, is well situated.
“We are also due to launch several high profile concession brands online, which will boost our online offering and attract new customers to the brand.”
M&Co, which has been retailing for 54 years, also operates 25 international franchise stores in 10 countries.
