UK pig processor Cranswick has reported a 21% increase in revenues from the three months ended June 30th 2017, compared to Q1 2016, or 21% on a like-for-like basis. The figures were underpinned by strong domestic volume growth across all product categories.
The Hull-based business says rising input costs were partially mitigated during the period – the Average All Pigs price has steadily climbed from 154p/kg in early January to its present 166p/kg and is up on the 130p/kg of a year ago.
Last November, the business expanded into Northern Ireland through the purchase of the Dunbia Ballymena pig abattoir, after acquiring Crown Chicken in Norfolk for £40m in April that year. But net debt of £18 million on June 30th 2017 was £4m lower than at the end of Q1 2016, although up on the £11m on March 31st 2017. The Group says its “robust financial position” is based on committed, unsecured facilities of £160m, providing “comfortable headroom”.
Cranswick is investing in its existing abattoir at Preston near Hull and at Ballymena to increase pig processing capacity and secure further operating efficiencies. It is also building a new, purpose-built continental products factory in Bury, Greater Manchester, to consolidate and expand production from two existing facilities.
Looking ahead, the company is confident both for the current financial year, and the long term outlook for the business.