Customers choosing pork and poultry prompt Cranswick sales surge
Cranswick is continuing to invest in its sites, to increase capacity and satisfy the nation's demand for premium pork products
By Hull Daily Mail | Posted: 1 Dec 2017
Hull food manufacturers Cranswick has recorded a 23 per cent surge in half year sales.
More customers are turning to pork and poultry meat products, seen as less expensive and healthier than red meat, leading to growth for the manufacturer of high quality burgers and sausages.
The firm, based at Preston, has announced plans to invest £67 million into its poultry operations to double capacity.
The firm has also invested £28 million into its Bury charcuterie factory, which specialises in cured meats, olives, corned beef, stuffed peppers, soft cheeses and party platters.
The firm, which employs around 6,500 people throughout Yorkshire, saw revenue for the six months until September 30 rise to £714.6 million from £580.8 million last year.
Adam Couch, Cranswick’s Chief Executive Officer said that the company’s positive growth has been a result of record investment earlier this year.
He said: “We have invested a record £29 million in our infrastructure during the first half of the year.
“As part of the development of our rapidly growing poultry business we are announcing today our planned investment in a new primary poultry facility in Eye, Suffolk.
“This class-leading facility, which is scheduled for completion in late 2019, will double our existing capacity with further room for expansion.
“The facility will incorporate the highest animal welfare standards and latest generation production techniques and equipment to drive operational efficiency gains. We also plan to upscale our feed mill and hatchery operations to maintain our fully integrated supply chain model.”
Ahead of Britain leaving the EU, the firm is investing heavily in workers and the business says it will have 100 apprentices across the business the year.
There is good news for shareholders with dividend increasing by around two pence to 15.1 pence, with group shares shooting up by 9 pence in total.
Pre-tax profit rose 17 per cent to £44.4 million and the group’s like for like revenue rose by 18 per cent. Compared to 2016 the firm also saw a significant rise in exports, seeing a 30 per cent increase in export revenues.
Demand is continuing to increase ahead of Christmas with the group producing ever popular products including pigs in blankets.
The CEO said that the firm is making “good progress” as it continues to invest in its production facilities across the UK.
“During the period we have strengthened our asset base, enhanced market positions and developed new customer relationships,” Mr Couch said.
“We continue to make good progress against each of our strategic objectives and we are well placed to continue our successful development in the current financial year and going forward.”