Bad weather gives warm glow to Carr’s
CARR’S Milling Industries, the Cumbrian, agriculture, engineering and food group, says it expect to trump full-year profit forecasts after delivering a 36% hike in interim profits.
The group, based in Carlisle, said trading in the 26 weeks to March 2 had been boosted by global weather patterns, which drove sales of its animal feed blocks both here and in the US.
Total revenue was up 18.1% to £231.6m as profits rose from £7.4m to £10.1m. Reflecting its investment in new facilities – it is building a new mill in Kirkcaldy, Scotland – net debt was £19m, compared with £2.5m at September 1, 2012.
Carr’s delivered growth in all areas of its business. Agriculture revenues climbed 17.8% and profit 21.4%.
Food revenue was up 8% and profits 10.9% with cost-effective access to imported wheat offsetting volatility on flour milling. The group said the new £17m mill in Kirkcaldy was on target to start production in September.
The star performer was engineering, as revenues surged 81.9% and profits 39%, reflecting demand for remote handling equipment and specialist fabrications from nuclear, petro-chemical and other industries.
Chairman Chris Holmes hailed a “strong” first half, adding: “We anticipate that the benefits to the group of the adverse weather will continue in quarter three.
“The board views the remainder of the year favourably, with the expectation that the result for the financial year ending August 31 will be ahead of our previous expectations.”
