Co-op Group, the Manchester-based member-owned mutual, said on Wednesday its first-half revenue rose 2.4% to £5.6 billion in the six months to July 4, 2026, but it posted a £45 million underlying operating loss compared with a £32 ​million loss ⁠a year earlier.

Co-op Group pointed out: “Variances should be understood in the context of the cyber attack Co-op experienced in 2025, with an estimated £206m impact to revenue and an estimated £80m impact to profitability: £60m in margin and £20m in incremental, non-recurring costs.”

Kate Allum

Co-op Group interim chief executive Kate Allum said: “2026 is looking like a year of two halves for our Co-op. The first half was characterised by difficult markets and low consumer confidence, especially for Food Retail.

“Against those conditions, we made decisions to drive trade – investing in promotions and investing in our stores – while also mitigating rising costs. These things have had a short-term impact on profitability.

“Speaking now in the second half, we’re seeing bigger baskets and more transactions. Conditions remain challenging, but we see reasons for confidence across our portfolio, having delivered strong growth in areas such as online convenience shopping and funerals.

“We expect to see a stronger performance in the second half than the first, with sales growth and improvements in profitability.

“Our immediate goal is to establish the firm foundations we need to realise greater growth in the years ahead – something we’re gearing up for as we progress our plans to join forces with Southern Co-op.”