Ornua Foods UK reports improved financial performance
Ornua Foods UK has reported an improved financial performance for the year ended 30 December 2017 as it filed its operating and financial results. This reflected a commitment to maintaining a clear business strategy focused on driving continuous improvement, delivering category expertise to customers, building a strong own-label and branded product portfolio and optimising the companies experience in dairy commodities.
The company reported a pre-tax profit of £7.1 million (€8.09m), versus a £1m pre-tax loss in 2016 for the period which was driven in part by, an ongoing focus on cost control and efficiencies, and leveraging the resources and scale of the Ornua Group. The company’s sales volumes remained stable, however the value of sales increased to £319m (2016: £286m) reflecting the impact of significant market price inflation during the period and the continued growth of both the Pilgrims Choice and Kerrygold brands.
During 2017, the company says that it continued to make a high level of capital and marketing investment. Capital expenditure included further investment in cheese packing technology, energy reduction projects and ICT control systems. In addition, the business continued to invest heavily in multi-channel marketing campaigns for both its Pilgrims Choice and Kerrygold brands. The level of investment in staff training and development was also significantly increased during the year.
Commenting on the 2017 results, Bill Hunter, managing director of Ornua Foods UK comments, “Our improved financial performance reflects our focus on delivering quality, customer service excellence and innovative ways of working for our major UK retail customers.
“We believe that the ongoing investment planned for the current and future years in both our state-of-the-art packing facility in Leek and our Pilgrims Choice and Kerrygold brands will continue to give the company a competitive advantage in the marketplace.”