Danish Crown beef division sees strong results in H1

Danish Crown's Beef Division has cut costs, improved profitability and been able to attract more animals for slaughter.

Earlier, Danish Crown's Beef Division reported very solid and better than budgeted interim results which reflect the division's strong market position. The Beef Division's share of slaughterings in Denmark has thus increased from 57.2% to 59.2%.

The increase in the number of slaughterings has enabled the company to streamline slaughtering facilities considerably and generally improve operations at all production plants in Denmark, according to Lorenz Hansen, Managing Director of Danish Crown's Beef Division.

The division's slaughtering facility in Husum in Schleswig-Holstein is once again reporting satisfactory results, while Scan-Hide in Vester Skerninge has recovered after a turbulent period with heavily declining prices and large stocks of hides.

Hide prices are almost back at pre-crisis levels, so instead of adversely affecting prices, the hides have contributed positively to increasing settlement prices for the members, said Hansen.

While the number of animals has increased, the number of members has been relatively stable, a healthy sign that more farmers are again positive about the future, said Peder Philipp, Chairman of Danish Crown's Beef Producer Committee.