Rain

Rain

max temp: 16°C

min temp: 10°C

ESTD 1874 Search

Suffolk/Norfolk: Turkey giant Bernard Matthews is back in profit but still cautious

08:53 14 November 2012

Rob Mears, MD of Bernard Matthews, at Great Witchingham hall.  Photo: Bill Smith

Rob Mears, MD of Bernard Matthews, at Great Witchingham hall. Photo: Bill Smith

Archant © 2012

Rising turkey sales in the UK have helped Bernard Matthews Group produce a £2m profit in the 12 months to July – but the firm is warning that Unveiling its results, the company, which has a large plant at Halesworth, said group sales totalled £341.4m for the year – compared to £470.8m in the previous 18 months – while UK turkey consumption was up more than 4pc.

Bernard Matthews Oldenburg, its German subsidiary, had a difficult year due to a number of external factors, including the poor summer weather which hit barbecue sales, and rising raw material costs, while SáGa Foods, the Hungarian subsidiary, experienced increased input costs allied to relatively weak commodity meat pricing, and the continuing difficulties in the Hungarian economy.

However, despite reversing a £6.6m loss from the previous year, the company remains cautious about the outlook ahead.

Bernard Matthews’ Group chief executive Noel Bartram said: “Whilst performance in the last financial year has been encouraging, there is still significant progress to be made.

“We have continued to incur unprecedented feed cost increases and do not envisage such increases abating over the coming year. With consumer spending and the wider economy remaining weak, we are cautious on our outlook for the next 12 months.

“Nonetheless, we remain focused on our strategic objective of doubling turkey consumption in the UK by 2020 and are encouraged by the 4.4pc growth over the last year. I believe this to be a reflection of our continued efforts to promote turkey as a healthy and affordable meat.”

Rob Mears, managing director at the firm, which employs more than 2,200 staff in East Anglia, said the firm had already invested £3m upgrading its facilities at Great Witchingham and a new refinancing deal agreed with its bankers would allow further investments to take place to help drive efficiency and improve business performance.

“The UK business is performing well, and our sales are improving for the third year running,” he said.

“But the level of profit we are generating for a business of our size is still pretty slim and for a business of our size we need to achieve higher levels. But we have managed to refinance the business and we have got more liquidity, which means we can make some significant investments to further enhance performance.

“The main concern is the extremely difficult trading conditions, with costs continuing to be at record levels. Certainly they are having an impact on the business and we expect this to continue for the remainder of 2012/2013.

“We are doing our best to minimise that, but inevitably consumers will have to get used to paying more for foodstuffs. This is not something that is unique to us.”

0 comments

A winning lottery ticket was bought in Colchester but the prize is yet to be claimed

The search is on for a mystery lottery ticket holder sitting on an unclaimed fortune somewhere in Colchester.

Some of the drugs were stolen from Ipswich Hospital

Health workers have been caught stealing controlled drugs from some of the region’s hospitals, it can be revealed.

Belchamp St Paul, where the bungalow caught fire

A 96-year-old woman rescued by firefighters from her burning home in Belchamp St Paul has died in hospital.

The air guitar competition at South Street Studios in Ipswich

Aspiring rock-gods and up-and-coming shredders have pitted their axe-wielding skills to the test in a competition to find Ipswich’s top air guitar hero.

Clockwise from top left: Colin Deferia, Simon Webber, Frank Warren, Paul Baker and Andrew Seaton

Five men have been jailed for a total of 112 years for conspiring to murder a man in Bury St Edmunds who was left for dead after being shot with a sawn-off shotgun.

Josh Emmanuel on the ball during the Manchester United v Ipswich Town (Capital One Cup) match at Old Trafford, Manchester, Lancashire, UK on 23 September 2015.      

Picture: Steve Waller       

www.stephenwaller.com

Now 10 games into the season and Ipswich Town sit 13th in the table. Is that going to be the club’s level for the rest of the season?

Simon Dobbin with his wife Nicole.

Thirteen men charged in connection with an incident that left Mildenhall man Simon Dobbin with life-changing injuries have all pleaded not guilty.

Most read

Great Days Out

cover

Click here to view
the Great Days Out
supplement

View

Most commented

HOT JOBS

Show Job Lists

Streetlife

Newsletter Sign Up

Sign up to the following newsletters:

MyDate24 MyPhotos24