May 25, 2010

 

Cranswick FY10 profit surge 22%

 

 

Food producer Cranswick PLC on Monday (May 24) posted a jump in fiscal 2010 pretax profit as sales climbed 22% after hard-pressed consumers shunned more expensive meats for cheaper pork and pork products.

 

Cranswick, which has heavily invested in pork products, expects the trend for buying pork to continue this year, as its value and versatility is increasingly appreciated.

 

Its pretax profit from continuing operations in the fiscal year to March 31 rose to GBP43.8 million (US$62.93 million) from GBP34.7 million (US$49.86 million) a year earlier. Sales rose to GBP740 million (US$1.06 billion) from GBP607 million (US$872.19 million) a year earlier, spurred by higher spending on foods such as air-dried bacon, fresh pork and ham.

 

Sales of its cooked meats rose 13% in the fiscal, with sausage sales up 23% and bacon 61%.

 

Cranswick has invested heavily in these categories in recent years and this coming year expects the completion of the investment project at its fresh pork facility in Hull, northern England.

 

The firm is recommending a final dividend of 17 pence a share, up 16% on the 14.7 pence a share final dividend it paid in fiscal 2009.