Carr’s upbeat on prospects

AGRICULTURE, food and engineering group Carr’s Milling Industries said in a trading update profits and revenues are “ahead of budget.”

The Cumbrian company, which is holding its annual meeting in Carlisle today,  said it had seen a “favourable” business environment for agriculture, with prices for beef, lamb and milk remaining firm.
 
In the food division, flour sales volumes are “slightly ahead”, after new customer wins, but overall margins “continue to be low” as the result of competition in an industry with significant surplus capacity.

It added that order books in the engineering division are “strong” with German based business Wälischmiller performing particularly strongly.

“Wälischmiller is achieving high productivity and has completed contracts, on time, in China, Germany and South Korea.  A number of projects are scheduled for completion in the coming months for customers in France, Germany, Japan and Russia.”

After last year’s sale of its fertilisers business for more than £20m, Carr’s said its financial position was enhanced. On December 3 it had net cash of £200,000 compared to net debt of £32.8m a year ago.