Kay Group Beighton

Source: The Kay Group

The forecourt operator said it was thanks to its fuel and retail offer 

The Kay Group boasted a 35.2% increase in turnover to £195.9m for the year ending 31 October 2022, according to its latest accounts at Companies House.

The forecourt operator, which recently switched supply deals from Spar to Londis, said it was thanks to a “significant increase” in fuel turnover and “strong results” delivered by its retail offer. Pre-tax profit, however, dropped by 44.5% to £5.9m.

“The Covid pandemic continued to have an impact in the first few months of the period,” the accounts said. “Overall turnover increased significantly, comprising of significant increases in fuel turnover.

“The quantity of fuel sold was flat, but significant increases in the oil price drove selling prices of fuel to unprecedented levels. Shops and services, whilst not as strong as during Covid, continued to deliver strong results.”

The 23-site operator said it had been actively promoting customer retention through its services, facilities and frontline staff.

For new locations, the company created “a very cost-effective three-tier customer retention promotion” through fuel discount vouchers to redeem on their next fill-up, which was helping to keep it competitive, it said.

The company added that while the conflict in Ukraine had not “materially impacted” fuel volumes or profitability, there had been investment losses in the portfolio of stocks and shares.

“The directors are taking all reasonable steps to efficiently manage cashflow, reduce costs, and plan appropriate commercial actions to take during this period of instability across the UK economy,” the accounts said.