BM returns to profit after ‘strong trading'

Bartlett Mitchell (BM) has reported a return to profit in the 52 week period ended 28 December 2022 after the number of employees returning to the workplace "gathered pace".

The report, filed with Companies House, revealed profit before tax was at £2.8m, compared to a loss of £0.4m over the same period in 2021.

Turnover also jumped from £30.2m in 2021 to £45.4m in 2022, despite many locations being unable to trade during the first quarter of 2022 as a result of public health restrictions.

BM saw steady growth in its employee base, with the average monthly number of full time equivalent employees, including directors, rising from 631 in 2021 to 702 in 2022.

The directors added the "strong trading performance" in the last three quarters of 2022 posed a "positive indicator" that trading will continue to improve into 2023.

The contract caterer had been challenged by a "scarcity of labour" and "cost inflation", but stressed that its "business model has proved resilient and has enabled us to gain new contracts and to remain competitive".

BM also revealed a series of ESG targets, including removing all avoidable food waste across the business; increasing the percentage of people from underrepresented groups on its management and development programmes to 30% by 2025; and sourcing 100% of cotton for uniforms from certified sustainable sources by 2024.

"The clear recovery in trading through 2022 and the positive outlook for the business, together with the strength of the parent WSH, supports the directors' confidence that the company, with the support of the WSH group, can meet all its obligations as they fall due through to at least the end of 2024," the report said.

The WSH chairman and chief financial officer monitor the performance of BM, which it acquired in October 2020, on a monthly basis.