The summer feelgood factor stokes growth at Booker

The group, which recently took over struggling rival Makro, cheered a “good start to the year” after like-for-like sales rose 2.3 per cent in the first half to September 13, excluding the Makro business.

Non-tobacco sales leapt five per cent higher, up from 3.1 per cent growth in the first quarter.

Booker said: “Customer numbers were up, generating strong sales. The warm summer weather helped our customers.”

Booker has a larger catering customer base, which performed well amid the heatwave as restaurants, cafes and bars benefited from the summer feelgood factor.

Sales declines also narrowed at Makro as Booker said the turnaround at the business was gathering pace.

Makro’s half-year like-for-like non-tobacco sales fell 1.9 per cent in a marked improvement on the 3.6 per cent drop seen in the first three months.

The Competition Commission formally cleared Booker’s £140m takeover of Makro UK in April – more than a year after the acquisition was completed.

Booker, which had run Makro on a standalone basis until the watchdog’s clearance, said the integration of the two businesses was on track.

The deal has brought together Booker’s 172 branches supplying nearly half a million businesses with Makro’s 30 stores across the UK. It is unclear if the Makro brand will be kept in the future.

Clive Black, analyst at Shore Capital Stockbrokers, praised “more very good progress” at the group.

Booker has an extensive branch network in Yorkshire with sites at locations including Leeds, Harrogate, York, Bradford Scarborough, Castleford, Middleton, Huddersfield, Barnsley and Sheffield.