British convenience retailer McColl's Retail Group Plc posted on Tuesday lower like-for-like sales in the third quarter and said the collapse of cigarette wholesaler Palmer & Harvey (P&H) last year continued to disrupt its supply chain.
Like-for-like sales fell 0.9% for the 13 weeks ended 26 August at McColl's, which trades from about 1,600 convenience stores and newsagents in Britain. Total revenue rose 0.6% in the quarter.
McColl's, which had entered a new supply partnership with WM Morrison Supermarkets to supply tobacco to stores hit by the P&H bankruptcy, said transition of 1,300 stores to the new supplier had been completed ahead of schedule.
"With our new supply chain partner in place, we can refocus on day-to-day operations, including improving availability and rebuilding trade in those stores most affected by the disruption," Chief Executive Officer Jonathan Miller said on Tuesday.