JJ Foodservice saw its turnover drop by 7% to £249.6m in the 12 months to 31 March, in a “challenging” year for the wholesaler.
Pre-tax profits dropped by almost half to £11.2m during the period, compared with £23.4m last year.
Though the past year was “not an easy one for the sector” said JJ Foodservice MD Mushtaque Ahmed, the company was focused on long-term growth through “commitment to quality and service”.
Ahmed said the wholesaler would continue its expansion into strategic markets, citing diversification as “key to growth” for the business.
JJ Foodservice bought a new Wimbledon depot to increase premium distribution in March, and in April acquired specialist Asian supplier Gatelands Supplies to expand its reach into the Thai, Korean, Japanese and Korean markets.
The wholesale said sales to Thai restaurants had doubled since last year as a result, and it was committed to “extend this approach” to other key global cuisines.
“The past year has not been easy for the restaurant and catering sector,” said Ahmed. “High inflation made it challenging for our customers to manage costs and while inflation has eased, we’re still seeing an impact, with fewer hospitality venues in operation.
“Our priority is quality and service, and our customers are integral to this journey. The Gatelands acquisition has opened up new sectors and allowed our existing customers to add fresh Asian flavours to their menus. This diversification is key to our growth,” he added.
“Our goal is to extend this approach to other cuisines, including Japanese, Korean, Turkish and Italian.”
The wholesaler, which won the Grocer Gold award of National Wholesaler of the Year in July, announced in September it would expand its lines by 67% over the next two years to keep up with rebounding eating-out market trends.
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