Henderson Group profits rise on operational efficiency drive

By Jed Nykolle Harme

August 19, 2026

Photo Credits: SPAR International

Henderson Group has announced annual results showing turnover of £1.5 billion for 2025, up 8.7 per cent, with pre-tax profit rising to £76 million. It matters because the group attributes that profit growth directly to operational efficiency initiatives rather than price increases, offering a rare disclosed example of cost discipline absorbing wage inflation in Northern Ireland's grocery sector.

Henderson Group is Northern Ireland's leading grocery retailer, wholesaler and foodservice supplier, operating the SPAR and EUROSPAR brands alongside Henderson Foodservice and Henderson Wholesale. The family-run group employed an average of 5,662 people across 2025, with a wage contribution exceeding £167 million.

Chief financial officer Neil Gamble said: "Operating costs were controlled well throughout the year despite a significant increase in wage costs, driven by both inflationary pressure, national minimum wage rate increases, and the impact of increased employers' national insurance charges levied by the UK government."

He added: "The Group has sought to mitigate the impact of these cost increases on consumer pricing by prioritising initiatives designed to improve the operational efficiency of the business, while also continuing to invest in remuneration and other initiatives designed to improve colleague engagement and deliver better prices for shoppers."

Henderson Foodservice grew sales by 14.8 per cent to £289 million, with growth recorded across all sales channels. Gamble said the strongest growth came from independent customers in the Republic of Ireland, where the group appointed a dedicated country director in 2025 to accelerate that expansion.

Growth in the Wholesale Group came from new and retained retailers in Northern Ireland, alongside continued roll-out of the Delish food-to-go brand across the store network, while the Barista Bar coffee-to-go format expanded further into England and Scotland.

For the sector, Henderson's results show that absorbing UK-wide statutory wage increases without passing the full cost to shoppers is achievable at scale, provided operational efficiency gains are treated as a standing priority rather than a one-off cost-cutting exercise.

Source: Belfast News Letter