Northern Foods slips at the halfway mark


18 November 1998


Northern Foods slips at the halfway mark


NORTHERN Foods has become the second food company within days to announce poor interim profits.

The company saw pre-tax profits slip to £40.2 million for the six months to 30 September, against £42m last time.

The reason for the decline was higher interest rate charges on debt – up from £2.1m to £8.1m.

Money borrowed to fund acquisition expansion and the purchase of capital equipment sent debt levels to £206m from £150m.

Northern Foods announcement follows a similar statement from Unigate on Monday.

The collapse in pig prices meant Unigate reported unchanged pre-tax profits at £67.5 million for the six months to 30 September.

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