McBride restructuring ‘progressing well’
OWN-label manufacturer McBride said it is “progressing well” with a plan to cut a quarter of its UK staff.
The business, which makes household and personal care products, wants to save £12m over the next two years by reducing its workforce by 400.
It has a large production site in Middleton, Manchester, as well as factories in Barrow, Bradford and Hull.
In a trading update McBride said its performance in the half-year to the end of December was in line with the board’s expectations, with sales of private label goods up 0.5%.
It benefited from strong growth in Germany, offset by a weaker performance in Italy and Spain and a “general softening” in the rest of Europe.
The group added: “The UK business restructuring project is progressing well and remains fully on track to deliver targeted savings of £12m by 30 June 2016, of which at least £3m will benefit the year ending 30 June 2015. It is expected that first half savings will be £1m.”
McBride axed chief executive Chris Bull last month with immediate effect. He will be replaced by Belgian executive Rik De Vos next month.
In the year to the end of June the group saw sales fall by 2.3% to £744.2m. Adjusted pre-tax profits were down from £17.9m to £14.8m.