Cranswick PLC on Thursday said that believes its product quality and financial stability can support growth throughout 2024.
The company reported ‘strong revenue growth’ for the 13 weeks ended December 23, thanks to volume growth across its four UK food categories. Cranswick said that UK consumers appreciated ‘the affordability, value for money and versatility’ of its pork and poultry products.
The expanded pig farming and milling operations ‘continue to contribute positively’, the company said, including the Elsham Linc business. In November, Cranswick acquire Elsham’s indoor pig-farming operations for £31.7 million.
Cranswick also expects to complete its acquisition of Froch Foods Ltd on Friday, following an agreement between the two in early January for an undisclosed sum.
Adjusted pretax profit for the financial year ending March 30 is now expected to be ahead of previous expectations. In November, Cranswick said that its adjusted outlook for the full year would be at the ‘upper end’ of market expectations of between £153.2 million and £160.8 million. Cranswick’s full year adjusted pretax profit profit was £140.1 million for the year ended March 2023.
Cranswick continues to benefit from positive cash generation, the company said, and remains in a strong financial position, with a £250 million unsecured credit facility providing ‘comfortable headroom’.
The company added that successful long-term growth will be supported by Cranswick’s ‘long-standing relationships, breadth and quality of products, robust financial position, and industry leading asset infrastructure’.
Chief Executive Officer Adam Couch said: ‘The positive momentum generated through the first half of the year continued through the third quarter.
‘Trading in December was stronger than anticipated as we supported our customers in the lead up to Christmas with exemplary service levels and an innovative range of festive products.’
The company will announce preliminary results for the year ending March 30 on May 21.
Shares in Cranswick were up 1.4% at 3,944.00 pence each in London on Thursday morning.
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