17 September 1998
Closures boost profit for Bernard Matthews
By FWi staff
POULTRY group Bernard Matthews has started to benefit from its decision to close some farms, shut a factory and stop exporting meat.
The poultry group took an exceptional charge of £4.4 million for restructuring its business and shutting its processing plant in Spalding, Lincolnshire. The move cut pre-tax profits for the six months to 12 July back from £6.7m to £5.3m.
Turnover fell from £185.3m to £173.8m. But underlying profits rose to £9.7m.
The company reports that the strong Pound hit the results as UK-based competitors were able to source their meat internationally. It said the decision to add more than £5m to the marketing and advertising spend this year was paying off.