Daily Mirror (Northern Ireland)
‘Smooth’ Brexit for Morrisons Grocer bigs up own brands as sales soar
SUPERMARKET giant Morrisons has dismissed any Brexit fears – after announcing its best sales for nine years.
The Bradford-based chain reckons it is better placed than most to cope with whatever way the UK leaves the EU – even without a deal.
This is because it makes half the own-brand and fresh food it sells – more than its main rivals.
It also says two-thirds of what it sells is British.
Bosses have gone even further by gaining approval as an Authorised Economic Operator, designed to limit delays at borders in the event of a hard Brexit.
“It means that we are considered by authorities to be a company who has policies and procedures that are thorough and wholly trusted and therefore any hold-ups at customs are, to some extent, simplified,” said Morrisons’ chief executive David Potts. He said he didn’t know if other supermarkets had applied for the same status. This came as the World Cup and a scorching summer helped sales in stores open at least a year jump 6.3% in the three months to August 5, the strongest for nine years.
Underlying profits rose 9% to £193million.
Morrisons has enjoyed a revival under Potts, who has overseen major changes throughout the business and spearheaded a push into wholesaling.
Morrisons also announced plans to pay out £91m to investors after raising its total interim dividend 2p, or 132%, to 3.85p.
Richard Hunter, head of markets at City firm Interactive Investor, said: “Bumps in the road remain, but Morrisons’ journey has certainly become more smooth in recent times.”