patrick coveney Archives - Ireland's Forecourt & Convenience Retailer

Dalton Philips named as chief executive and executive director at Greencore

Linda Stewart — Fri, 13 May 2022 11:34:01 +0000

Convenience food group Greencore has appointed Dalton Philips as its new chief executive and executive director.

Mr Philips, the chief executive of airports operator daa, will join Greencore in September.

He will replace Patrick Coveney who left the company at the end of March to take up the CEO job at SSP Group, an operator of food and beverage outlets in travel locations including Upper Crust.

Mr Philips has been daa CEO since October 2017 and was previously the CEO of Morrisons, the UK’s fourth largest supermarket chain, between 2010 and 2015.

He has also worked with the George Weston Group, including as COO of Loblaw Companies Limited, the leading Canadian grocery retailer, and CEO of Brown Thomas Group.

Gary Kennedy, Executive Chairman of Greencore, said that as well as his outstanding knowledge of the grocery sector, Dalton Philips has a strong track record of leading dynamic consumer-related businesses.

“We see him as the ideal candidate to lead Greencore into the next phase of its journey as it continues to emerge strongly from the challenges of trading through the pandemic,” he said.

Until Mr Philips’s arrival at the end of September, Mr Kennedy said he will continue in the role of Executive Chair, supported by Kevin Moore, the company’s Deputy CEO, and Emma Hynes, its CFO.

Dalton Philips said he was hugely excited to be joining Greencore.

“I know from my time as a Greencore customer that this is a business with exceptional dynamism, adaptability and ambition, and one that is committed to the highest levels of product quality, customer service, and sustainability,” he said.

“I am looking forward very much to joining their industry-leading team in September, and to helping to realise the significant future growth potential that I see for this business,” he added.

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SSP sales at 57% of pre-Covid levels in recent weeks

Linda Stewart — Fri, 04 Feb 2022 09:31:24 +0000

SSP says its sales are recovering after the lifting of curbs in the UK and some European markets.

Upper Crust owner SSP says that its sales are recovering after a slowdown in recent weeks, when fewer people travelled due to Omicron-led curbs that hit its stores at train stations and airports.

The company predominantly operates units across airports and railway stations in its UK and Ireland markets, with own brands including Millie’s Cookies and Upper Crust. It also includes names such as M&S Simply Food, Starbucks and Burger King in its portfolio, which it operates under franchise arrangements.

The London-listed firm said it made an underlying core profit in the first quarter to December, and this month repaid in full the £300m Covid-19 UK government financing.

The group said its sales in the latest eight weeks to January 30 were at around 57% of 2019 levels, down from the nine weeks before that when sales ran at 66% of the 2019 levels.

SSP had lagged a broader food industry recovery from pandemic lows as most of its stores have been more susceptible to Covid-related disruptions to travel due to their location at transit points.

It still expects its like-for-like revenue and profit margins to broadly return to 2019 levels by 2024.

In November, Greencore chief executive Patrick Coveney said he would step down from the position in March to become group CEO of SSP.

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Greencore’s Q1 revenue up 24% despite supply chain and labour challenges

Linda Stewart — Thu, 27 Jan 2022 10:30:42 +0000

Convenience food group Greencore says its first quarter revenue increased by 24.4% to £389m on the back of strong growth in food to go categories.

This was despite some limited impact on demand from the emergence of the Omicron Covid-19 variant in December.

In a trading update for the 13 weeks to December 24, Greencore said revenues were 7.5% above equivalent pre-Covid levels in the first quarter of 2019.

Pro forma revenue in food to go categories increased by 34.9% year on year and was 6.1% above equivalent pre-Covid levels in 2019. Pro forma revenue growth in other convenience categories was 13.1% year on year and 10.3% above equivalent pre-Covid levels in 2019.

Greencore said that it continued to progress well with the recovery of input cost and other inflation with customers, but added that the pace of profit conversion continued to be impacted by industry wide supply chain and labour challenges.

It also noted that supply chain and labour challenges remain elevated across the UK food industry, exacerbated by the impact of the Omicron Covid-19 variant.

In November, the company said that Patrick Coveney would step down as CEO in March, to become Group CEO of SSP Group, an operator of food and beverage outlets in travel locations including Upper Crust.

The company says the process of appointing to appoint a new CEO is ongoing and an update on the appointment will be provided in “due course”.

Greencore also announced a new share ownership scheme and colleague wellbeing centre. Under the share ownership scheme, the business has given almost 12,000 workers about £250 worth of Greencore shares each.

The cost of these shares, to be held for three years, is being covered by Greencore, giving colleagues a free opportunity to become shareholders in the company.

The colleague wellbeing centre, which went live earlier this month, is a free online portal for Greencore colleagues to access health and wellbeing support.

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Sandwich giant Greencore reports return to revenue and profit growth

Linda Stewart — Tue, 30 Nov 2021 09:39:24 +0000

Convenience food group Greencore has reported a return to revenue and profit growth for the year to September 24, saying it is emerging strongly from a challenging period due to Covid-19.

Its group revenue for the year rose by 4.8% to £1.325 billion on the back of a return to growth in food to go categories and solid growth in other convenience categories.

The company’s adjusted operating profit was up 20% to £39m, while its group operating profit soared by almost 232% to £42.8m from £12.9 the previous year.

The company confirmed last week that Patrick Coveney is to step down as CEO of the company next year to take up the role of CEO at Upper Crust owner SSP Group, which operates food and beverage outlets in travel locations.

Greencore, which is the biggest sandwich maker in the UK, said that trading so far in its new financial year has been encouraging with continued positive revenue momentum across the business.

“As mobility increases towards pre-pandemic levels, there is strong demand in food to go and other convenience categories,” it stated.

Supply challenges

Greencore said that as the economy reopened after Covid restrictions, supply-side challenges emerged across the UK food industry.

“This has been primarily driven by tight labour availability, with a marked impact on logistics and the supply of inbound materials,” it said.

“Greencore has not been immune to these impacts but delivered strong operational service levels in this context, supported by its own direct-to-store distribution network,” a spokesman added.

Patrick Coveney, Greencore’s chief executive, said that the company has weathered the storm and emerged strongly from a difficult period.

“Following a challenging first half in FY21, we made good progress in rebuilding revenues, cashflows and profitability in H2 and are confident of maintaining this positive trajectory in the year ahead, particularly in the seasonally important second half,” he said.

He said the strong recovery of the UK food to go market, as well as solid performance in other convenience food categories, underpins this confidence.

“New business wins achieved last year are contributing to our momentum, and we anticipate delivery of profits for the year ahead in line with current market expectations,” he said.

“With strong free cashflow and a significant reduction in leverage achieved in FY21, the Group enters the new financial year on a robust financial footing,” he said.

“Greencore has a strong position in the dynamic UK convenience food market and, with demand remaining strong in the early stages of FY22, has confidence in its medium-term prospects,” the outgoing CEO added.

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Greencore CEO Patrick Coveney quits after 14 years

Linda Stewart — Fri, 26 Nov 2021 15:22:21 +0000

Patrick Coveney, the long-time chief executive of Irish food group Greencore, is leaving the role.

The Greencore CEO is leaving to join UK stock market-listed SSP Group as chief executive.

SSP Group is the owner of the Upper Crust chain of sandwich shops that trade at airports and train stations. Mr Coveney succeeds Simon Smith.

Jonathan Davies, in his role as deputy CEO and CFO, will lead the Group Executive Committee and oversee day to day business prior to Coveney joining. Mr Coveney will resign from Greencore next March.

SSP Group chairman Mike Clasper described Mr Coveney as a “strong and strategic leader”.

Meanwhile, a search for a new CEO at Greencore has begun with non-executive chair Gary Kennedy taking a ‘more active role’ in the business and assuming the role of executive chair from when Coveney leaves. Chief commercial officer Kevin Moore will also step into the role of deputy chief executive with immediate effect.

During his time at Greencore, which produces a range of convenience foods in the UK and Ireland, Coveney helped transform the business into an ‘international leader in value added convenience food, most notably in food-to-go’. He is also credited with delivering a ‘strong track record of growth’, forging long-term partnerships with customers across the UK, US and Europe and driving ‘significant cultural change’, developing people and embedding sustainability into Greencore’s strategy.

Prior to working at Greencore in 2005, Coveney worked for nine years at McKinsey & Company in Europe and North America, laterally as managing partner for Ireland. He also serves as a non-executive director of Glanbia plc and Core Media.

“Patrick is a strong and strategic leader, combining this with proven financial and operational experience in some of the most competitive categories in the food sector,” said Mike Clasper, chair of the board, SSP.

“His customer and colleague focus make him ideally placed to lead SSP to future success. Patrick will be well supported by Jonathan Davies, who together with the executive committee and board will ensure we complete a smooth transition.”

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