BLACKBURN'S billionaire Issa Brothers main EG Group saw its revenue rise by a third in the second quarter of this year as its gross fuel profits for the first six months hit £904.5million
But its gross profits before tax and other deductions between April 1 and June 30 only rose by 0.2 per cent year on year from £329m to £329.7m..
Zuber Issa, co-founder of the petrol forecourt and convenience store business, said: "Despite a backdrop of challenging market conditions, we continued to perform resiliently in the second quarter of the year."
In its results for April 1 to June 30 the group saw a fall in its adjusted reported profits by 6.5 per cent year-on-year primarily attributable to adverse foreign currency movements, alongside the impact of continuing inflationary and cost-of-living pressures on customer behaviour.
The company's gross fuel profit for the three months rose by 14.1 per cent compared to the same period last year from £413.7m to £471.7m with the figure for the first six months of the year being £904.5m.
This was before the Issa brothers' Asda store chain's recent purchase of the Co-ops 129-strong petrol forecourts in a £600m deal.
EG Group's gross revenue before tax and other deductions rose by 33.5 per cent from £5,813.5m to £7,759.2m year on year for the quarter.
The results show that its foodservice operations continued to grow, with adjusted gross profit increasing by 11 per cent year-on-year to £153m.
It opened 33 new foodservice outlets in the quarter, bringing the total number to 1,889
Grocery and merchandise gross profits remained consistent despite retail inflation increasing by 0.4 per cent to £299.5m
The firm's statement says fuel margins were flat on a quarter-on-quarter basis because of continued volatility around wholesale fuel costs due to the dislocation in energy markets from geopolitical events.
EG Group co-chief executive Zuber Issa said:“The cost-of-living squeeze remains front of mind for all of us, and the group is laser-focused on supporting our employees and helping customers with value for money.
"EG’s robust performance over the quarter has demonstrated our adaptability.
"We look forward to the second half of the year confident in our ability to outperform the wider market.
"We are pleased to be trialling our own-branded ultra-fast electric vehicle chargers in the UK and plan to introduce them to additional locations by the end of this year. This investment supplements our existing network of approximately 250 electric charging points across 98 sites in the UK, Ireland, Germany and France. We also to explore the delivery of other low carbon fuels."
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