Shine Catering Systems is looking forward to a positive future after coming through the tumultuous coronavirus period.
The Newport-based distributor recently revealed its financial results for the 12 months to 31 December 2020, which show that Covid sliced through both sales and earnings.
The annual report, publicly available on Companies House, shows that turnover fell by 60% in 2020 to £6.0m, from 2019’s record total of £15.0m.
Operating profit of £444k from 2019 fell a huge 283% to a loss of £811k last year.
In the report, MD Julian Shine cited the businesses’ and sites’ closure and consequential contract delays as the main reasons for the turnover cuts. However, he underlined: “We took the decision to keep the business open while many of our competitors closed their doors. This, we feel, gave us a commercial advantage, being able to respond quickly as the economy started to open. We have already seen the benefit of this decision, including the company successfully tendering for a very large contract.”
Shine further detailed to Catering Insight his company’s mitigation strategy to ensure it came out the other side of the pandemic: “In March 2020 the management team took the view that correct focus for us was to concentrate on the people.
“Firstly we looked at our own people, realising that what we do and how we do it is solely a function of the great people that we have. The first thing that we needed to do is provide stability and continuity for our team. Having done this, it enabled us to provide a reliable service to our clients in closing out their contracts in the most difficult of circumstances, but also assisting the growth of their pipelines and order books due to our extensive input at the bid stage.”
However, he is very optimistic about the future, concluding: “Although the effect of the pandemic was more severe and longer lasting than we foresaw, our people focus was not forgotten and has borne fruit with our order book now standing above where we were for 2019.
“We enjoy great support from Nat West and have refinanced using the CBILS. Our resilience has meant that the turnaround has been dramatic and we are trading profitably in 2021, fully expecting 2022 to be a record year for Shine Catering Systems.”