Bakkavor serves up strong results despite UK site closures
Bakkavor Group, the freshly prepared food giant with sites in Newark and across Lincolnshire, has delivered strong results, with revenue rising across all regions.
The company’s results for 2024 report revenues growing by 4% to £2.29m, and adjusted operating profit surged 20.5% to £113.6m.
Operating profit dipped from £97.1m to £93.4m, reflecting £20.2m in exceptional costs primarily related to the closure of a UK site.
Mike Edwards, CEO of Bakkavor said: “The Group delivered another strong performance in 2024, as we continued to execute our strategic plans. We saw volume growth in all regions as we have continued to focus on delivering excellent service, quality and innovation for our customers.
“Our ongoing efficiency focus drove margin improvement, and we have further strengthened our balance sheet, allowing us to continue investing in our business and our people. This exceptional performance is a testament to the commitment, energy, and drive of everyone at Bakkavor, and I would like to thank them for their huge contributions.
“The momentum we have created and our clear strategy underpins our confidence in delivering further margin improvement in FY25 as we continue on our trajectory to our 6% target.”
In its 2023 trading update, newly appointed CEO Mike Edwards highlighted the ongoing challenges the company faced as a private-label supplier to major UK supermarkets.
To “protect profits,” Bakkavor later confirmed that worker consultations at the two sites had been completed, with both facilities remaining on track to close and transfer production in the first half of 2023.
