Cranswick has said sales are growing and its new poultry processing plant in Suffolk is being completed ahead of schedule for the benefit of its main customer Morrisons.
According to its three month trading update for the period to 30 June 2019, revenue was 1.5% up compared to the same period last year. The company also announced the acquisition of Katsouris Brothers, a Mediterranean food products business.
Investment in the new £75 million poultry primary processing facility at Eye in Suffolk, which will more than double existing capacity, is progressing to plan, the company said. Commissioning is expected to take place towards the end of the financial year and is being fast-tracked to support the anchor customer for the new site, Morrisons. This operation is the first new primary poultry plant to be constructed in the UK for almost 30 years and will, when fully commissioned, be the most technologically advanced and efficient facility in the UK industry incorporating the highest animal welfare standards, Cranswick claimed.
Net debt increased during the period in response to the Group’s substantial ongoing capital investment programme. The Group said it had committed, unsecured facilities of £160 million which provided “comfortable headroom”.
Adam Couch, chief executive of Cranswick, said: “We have made a positive start to the year and our capital investment programme, which is building a platform for future growth, remains firmly on track. We continue to make pleasing progress on the new Eye poultry facility and our new continental products facility in Bury is now performing strongly and in line with the original business case.
