Meat producer Cranswick lifts dividend as FY profits rise

23rd May 2023 07:20

(Sharecast News) - Meat producer Cranswick reported a rise in full-year profit and revenue on Tuesday as it announced a new supply agreement with retailer Pets at Home.

In the year to 25 March, adjusted pre-tax profit ticked up 2.3% to £140.1m, with revenues up 15.7% to £2.3bn. The company lifted its full-year dividend by 5% to 79.4p, in what marked the 33rd consecutive year of dividend growth.

Cranswick said broad-based inflationary pressure across the cost base continues to be "well controlled".

It also noted that during the year, it made further investment in its pig farming operations, meaning that self-sufficiency in British pigs is now approaching 50%.

Chairman Tim Smith said: "We delivered strong revenue growth, primarily reflecting good control of widespread cost inflation, with a strong pipeline of new products launched, nimbly responding to changes in market led demand.

"Our customers and consumers continue to recognise and appreciate the quality, value and versatility of our product range."

Cranswick also said that it recently agreed a long-term supply agreement with Pets at Home to manufacture a range of established private label products for the retailer.

"This partnership, alongside reinvigorating the business's existing Vitalin and Alpha dog food brands, will support the ongoing strategic development of the business and accelerate our ambition to develop Pet Products into a leading British pet food manufacturer complemented by our farm-to-fork strategy in poultry and pigs," it said.