Co-op set to reveal financial toll caused by cyberattack
The Co-operative Group is set to disclose the full financial repercussions of a significant cyber attack when it releases its latest results this week.
The April incident led to widespread disruption, leaving shoppers facing empty shelves and payment difficulties across its stores.
On Thursday, the retail and funerals giant will unveil its first-half 2025 figures, encompassing the period severely affected by the breach.
The company was forced to shut down parts of its IT infrastructure after hackers accessed and extracted membersโ personal data.
It was confirmed in July that personal details belonging to all 6.5 million Co-op members had been stolen.
Chief executive Shirine Khoury-Haq said that “names, addresses and contact information” for all members were accessed.
She said that the hackers created a copy of one of the firmโs files but were unable to attack its platforms further and install planned ransomware.
However, the company has not yet revealed the full financial impact of the crime, which affected store transactions and product availability.
The cyber attack was one of several against UK retailers, with both Marks & Spencer and Harrods also significantly impacted.
Marks & Spencer, which stopped all online sales for six weeks following its hack, said it faced a ยฃ300 million financial hit.
The Co-opโs cyber incident came amid a challenging period for the retailer, which is facing higher costs and pressure on consumer confidence from the rising cost of living.
Last year, the company reported improved profits but warned in April it would face more than ยฃ200 million in costs and spending pressures in 2025.
The retail group warned cost hits would include another ยฃ80 million from the impact of shoplifting across its retail estate, following a similar bill in 2024, and ยฃ50 million from the increase in national insurance contributions.
The group saw revenues grow by 1.5 per cent on a pro-forma 52-week basis to ยฃ11.3 billion for last year.
Recent statistics from industry experts at Worldpanel have pointed to weaker sales in recent months.
Figures from earlier this week, indicated that the Co-op saw sales slip by around 2 per cent over the 12 weeks to 7 September, compared with the same period a year earlier.
The data also indicated that the retailer has lost market share in the UK grocery sector over the past year as a result.
Nevertheless, the data focuses purely on the groupโs grocery business and compares the retailer directly with much larger supermarket stores from rivals including Tesco.
