The Courier & Advertiser (Fife Edition)
Forfar food producer sees profits improve
Strong year for pie and pasta maker hailed by company directors
Forfar chilled and frozen food group Strathmore saw profits jump last year.
Accounts published at Companies House show the family-owned producer, well known for its McIntosh of Strathmore macaroni range and its pies, stovies and haggis products, generated income of £12.46 million in the year to June 30, an increase of more than £500,000 on the prior year.
Pre-tax profits were also up strongly in the year from £1.14m in 2015 to £2m.
“The directors are very pleased with the operating performance in the year and with the further growth in the financial strength of the business,” finance director and company secretary Dain Egan said.
“Turnover for the 53 weeks to June 30 2016 totalled £12.46m – this represents an increase of 2.3% in average weekly sales, and was achieved despite both the deflationary price pressures which continued to exist during the year and the pricing policies that were pursued by our customers as they fought for market share.
“It is pleasing to note the continued growth of the McIntosh brand within its chilled food markets, as well as growth in sales of the company’s frozen products.”
The accounts show Strathmore Foods carried an average of 126 staff last year, down slightly on the 137 of 2015.
In his strategic report, Mr Egan said the group had spent £670,000 over the year improving production capabilities, and net assets had risen to £6.1m.
However, he warned of a potential impact on costs due to the Brexit vote.
The trading figures came as the manufacturer celebrated being nominated in the Employer of the Year category at next month’s Scotland Food and Drink Excellence Awards.
Managing director Julie Nisbet said: “Our application for the awards was based on our commitment to staff training.
“Our health and safety manager and training team worked to identify any gaps in training throughout the organisation and devoted time to our workforce.
“Most benefits were clear at first such as ensuring the continued quality of the food we produce, increasing staff morale, and ensuring the company was going above and beyond the requirements of legislation for training, health & safety.”