UK – Cranswick, a leading British meat producer and supplier, reported an increase in first-quarter revenue, crediting strong demand for its premium products which helped counterbalance declining meat prices in Asia and Europe, according to Reuters.
Specializing in fresh pork, bacon, gourmet sausages, poultry items, and continental foods, Cranswick supplies a range of supermarkets and saw significant growth driven by robust volumes.
“While export sales volumes surged, they were offset by lower pricing in the Far East and the European Union. However, early indicators suggest that prices in the Far East are beginning to stabilize,” the company noted.
British food producers, including Cranswick, are reaping the benefits of revived consumer spending and reduced costs following a period of high demand and supply-chain issues caused by inflationary pressures.
“The primary factors driving Cranswick’s profitability are its UK food operations and an increasing focus on farming and agricultural activities,” explained Shore Capital analyst Darren Shirley.
Despite weak pricing in China and Europe, Shirley emphasized that this would not pose a major obstacle for Cranswick, given its strong customer base in the UK.
Founded 50 years ago from a pig farming collective in Yorkshire, Cranswick has been investing significantly to expand its production capacity and diversify its product lines, aiming to broaden its revenue streams.
CEO Adam Couch stated, “We have increased our pig herd during the quarter and plan to make further investments in our agricultural operations to ensure supply chain security and value optimization.”
Shares of Cranswick, listed on the FTSE 250, rose 1.9% to 4,625 pence on Monday, marking a 22% increase this year.
Cranswick also reported that its quarterly revenue was 6.7% higher than the same period last year and reaffirmed its outlook for the current financial year.
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