Poultry processor, Moy Park, has reported a 35% growth in underlying profits, before tax, for the 13 weeks to July 2, 2016, followed by a “confident” forecast of continued business success and development, going forward.
Describing the second quarter figures as continuing a “solid start” to the year, Moy Park chief executive, Janet McCollum, said the positive performance needed to be set against the background of a particularly challenging market.
“Our progress continues to be built on a platform of strong customer relationships, innovation, improved efficiency and cost control,” she said. “We continue to build our business to the highest standards of food safety and quality, and to meet and exceed the ever-evolving expectations of our customers and consumers.”
Turning to the future, Ms McCollum said the business would continue to focus on productivity and innovation, backed by investment in assets for further growth.
“An experienced management team, a strong product portfolio and a robust financial position, puts Moy Park in an excellent position to handle the ongoing economic challenges,” she said. “We remain confident in the continued success and development of the business.”
Q2 2016 highlights included:
- Underlying sales volume growth of 5%, compared to Q2 2015.
- Revenue increased 1.2% from Q2 2015 to £364.7 million.
- Underlying EBITDA, before inclusion of corporate charges from the parent company (JBS) and exceptional items, increased by 7.3% to £33.5 million.
- Profit before taxation (PBT) increased by 99.4% to £11.6m, driven by EBITDA growth and lower corporate charges and depreciation.
- Underlying PBT, before corporate charges, exceptional items and bond interest, increased by 35.5% to £16.8 million.
- Net debt reduced to £138m.