Riverford, the employee company in employees, will reward his workforce with a profit share of £ 1.3 million after seeing a profit before taxes more than double of £ 5.3 million.
With the turnover from 11 percent to £ 110 million for the year until 4 May 2024, each of the more than 1,000 employees receives around £ 1,000, an increase in a total payment of £ 500,000 last year.
Riverford, founded in Devon in the late 1980s by Guy Singh-Watson, initially delivered vegetables to supermarkets before they deliver products to around 30 households of an old Citroën van in 1993. Nowadays the company competes with people like Abel & Cole and Oddbox , More than 70,000 boxes during peak periods and proud of ethical practices in collections at least the real living wage and participate in business decision-making.
Riverford attributes the improved financial performance to loyal customers who spend more, with prices rising an average of 5.6 percent in mid-2023 in the midst of higher energy, artificial fertilizers and labor costs. Despite the growing competition from supermarkets, the company managed a “period of stabilization” after the online shopping of the pandemic had disappeared.
Lucinda Turner, commercial director of Riverford, said that increased profit reflects “More people who choose quality, organic food, seasonal food and fairness for farmers.” She added that the company tried to protect core items against price increases “to keep biological food as accessible as possible”, even if an increase of 10 percent in the real life wage by £ 2.7 million.
Riverford was the majority in 2018 in the hands of the employees and completed the transition last year when Singh-Watson sold its remaining interest of 20 percent for £ 8.5 million. The workforce of the company, which is now at 1,023, shares the larger profit benefit under the Ethos of the Riverford staff.
Looks ahead, the company continues to invest in sustainability by extending its solar energy capacity to more than 1 megawatt in different locations, which increases the fleet of electric delivery vans and 10,000 trees is planted. Turner expects these steps to strengthen Riverford’s references, because it fights with rising competition in the biological and ethical food sector.