Hilton Food Group boosts sales after Seachill acquisition
Its interim results for the 28 weeks to 15 July 2018 revealed that turnover was up 25% to £863.6m (2017: £690.7m) and operating profit was £22.3m (2017: £18.8m).
The company said the results were boosted by the Seachill acquisition after absorbing higher central costs and set-up costs in Australia.
It said the overall performance in the period was also boosted by the recovery of its business in Central Europe and further strategic progress in Australia.
Western Europe
Its Western Europe business, which includes the UK (including Seachill), Ireland, Holland, Sweden, Denmark and the Portuguese joint venture, reported operating profit of £24.9m (2017: £20m) on turnover of £810.1m (2017: £643.6m).
It said the new Seachill business was integrating well and strategic options for expanding the fish category were being developed.
In Central Europe, it reported operating profit of £1.2m (2017: £0.4m) on turnover of £51.5m (2017: £47.1m).
In Australia, the group operates a joint venture with Woolworths. Under the terms it earns a 50% share of the agreed service fees charged by the joint venture company, based on the volume of retail packed meat delivered to Woolworths’ stores produced by its plants in Bunbury, Western Australia and Truganina, Victoria.
Operational control
The company said it took full operational control of these plants in July 2018.
Hilton said it would continue to explore further opportunities for expansion across the business.
“Hilton has continued to deliver on its strategies to build a significantly bigger, more diversified business. We achieved strong volume and profit growth during the period, including the integration of Seachill and the launch of a fresh food offering in Central Europe,” said executive chairman Robert Watson.
“We have further extended our geographical reach in Australia, where we commenced production and took operational control of two existing facilities whilst constructing a further facility and designing a new facility in New Zealand, which further extends our geographical reach.
“We remain committed to growing our business through innovation and product development, as well as continuing to explore opportunities to expand the business both at home and abroad.”
