In our second full year under a new management structure, turnover increased by 33% to £26.2m, far exceeding the predicted 20%. We added eight new contracts to our portfolio worth an annualised turnover of more than £2.6m.
Vacherin has also recently invested in additional head office support to ensure continued high levels of customer service alongside our exclusive food quality. Towards the end of 2018, Dan Kelly, previously Director | Food, was promoted to Deputy Managing Director | Food and Operations to further support the growth of our business.
Operating profit growth kept pace with turnover growth thanks to our industry-leading record of contract retention, allied to keen cost awareness and despite a bad debt provision of £105k as a result of the failure of Carillion for whom we operated one significant contract.
We significantly invested in R&D this year, creating bespoke communications apps for both our customers and employees. The former enhances the customer experience by presenting them with the site specific range of food and beverage choices available to them and informs them of nutritional and allergen content. The employee app ensures that every team member is provided with information that concerns them in the most innovative and timely fashion.
Phil Roker, Owner | Managing Director, said “We are thrilled with these results. The head office appointments we’ve made have enabled us to remain committed to our clients and core values, while benefitting from consistent growth. Our other key performance measures including contract and staff retention, turnover and cash generation remain extremely robust.”
Our financial year, which began again in September, kick-started with the opening of two new contracts. The first was with the Royal College of Pathologists in Aldgate at a purpose-built new location and the second with a global advisory firm whose London team has recently relocated to Victoria. The combined value of the contracts is £4m.