- Hilton revealed its half-year adjusted pre-tax profits climbed 37.8% to £33.5m
- Firm’s turnover declined to £1.9bn, but still rose by 1% on a like-for-like basis
Hilton Food Group’s profits jumped over the first half of the year following significant volume growth in core meats.
The food packaging giant revealed its adjusted pre-tax profits climbed by 37.8 per cent at constant currency levels to £33.5million in the six months ending June.
At the same time, the Huntingdon-based firm’s statutory profits before tax soared by 125.7 per cent to £25.4million.
Tasty results: Hilton Food Group’s profits jumped over the first half of the year
Turnover declined by 8.4 per cent to £1.9billion, but still tipped up by 1 per cent on a like-for-like basis, helped by retail volumes expanding across all regions.
Overall food volumes increased by 3.2 per cent to 260,907 tonnes, with growth in the UK and Ireland supported by core retail meat and premium tier products and a better performance by its seafood division.
Meanwhile, volumes in Europe were boosted by demand for localised convenience foods across Sweden and Central Europe.
The result has enabled Hilton to bolster its interim dividend by 6.7 per cent to 9.6 pence per share.
Steve Murrells, chief executive of Hilton, said: ‘These results represent another step forward as Hilton Foods further improves business performance and profitability.
‘Our core meat category performed particularly well, driving volume growth, while the continued positive momentum in our seafood business has helped to underpin profit performance.’
Hilton also announced that Mark Allen, the current chair of Irn-Bru manufacturer AG Barr, will become its chairman from the start of next year.
Allen will replace Robert Watson, who has worked at Hilton for over two decades, including 16 years as its chief executive.
Before AG Barr, Allen was chief executive of Dairy Crest Group, the maker of Cathedral City cheddar and Country Life butter, for 12 years until its takeover in 2019 by Montreal-based Saputo.
The former police officer has also held non-executive roles at Dairy UK, Howdens Joinery, baking business Warburtons and kitchen and bathroom products supplier Norcros.
Angus Porter, senior independent director at Hilton, said Allen ‘has a wealth of relevant experience in the consumer goods and food sectors and, through the search process, showed an outstanding appreciation of the Hilton Foods strategy and values.’
Hilton Food Group shares were 4.8 per cent down at 926p on Wednesday afternoon, making them one of the top falling FTSE 250 companies.
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