Cranswick: Pig farms boost outlook for food producer yet again
UK food producer Cranswick is looking towards “upper end” of market expectations as meaty investments into pig farming operations paid off once again.
The supplier, which is headquartered in Kingston upon Hull, said today in its half year trading update that its expansion into pig farming operations has led to positive contributions for the brand.
As a result, Cranswick said its outlook for the year is now expected to be near the “upper end” of profit expectations, which range from £179.2m and £191.7m.
“The board remains confident that continued focus on the strengths of the company, which include its long-standing customer relationships, breadth and quality of products and industry leading asset infrastructure, will support the further successful development of the group over the longer term,” the firm said.
The positive momentum for Cranswick follows a jump in profit earlier this year, which it said came from its takeover deals of Elsham Linc and Froch Foods.
Cranswick reported revenue growth of 11.9 per cent to £2.6bn, while earnings per share jumped 15 per cent to 242.8p.
The rise in sales, despite macroeconomic headwinds such as inflation, was underpinned by 4.5 per cent volume growth in UK food, which accelerated through the second half of the year.
The bumper performance came after two meaty takeover deals of Elsham Linc and Froch Foods, totalling £46.1m, helped boost business.