Meadow Foods invests as profits rise
CHESHIRE-based Meadow Foods, the UK’s largest independent dairy and leading supplier of milk based dairy ingredients to the food industry, is planning to invest nearly £3m after reporting increased profits.
The company, which produces a full range of dairy ingredients including butters, creams and milks, cultured and sweetened products for some of the world’s leading food manufacturers, has around 250 employees at its three sites.
It said operating profits in the year to the end of March 2013 had risen 1.9% to £9.69m on turnover of unchanged at £339.42m.
Meadow Foods, which is headquartered at its creamery at Marlston-Cum-Lache near Chester, said that strong cash generation had been used to further strengthen the balance sheet and that it has earmarked £2.79m for capital investment projects to increase capacity and efficiencies at its manufacturing facilities.
Executive chairman Simon Chantler said: “We are pleased to report some
strong results in a competitive marketplace. The improved profits and positive cash flow have allowed us to make further investments into the business which will in turn allow us to grow sustainably and offer stability to both our farmers and customers.”
The investments include an increase in the cream storage and cultured products capacity at its site in Peterborough, a new lactose milling facility at its site in Holme-upon-Spalding Moor in Yorkshire as well as continued improvements to its Chester site.
Mr Chantler added: “With a strong capital structure and an ambitious growth strategy in place we plan to continue our programme of ongoing investment and to look for acquisition opportunities in 2014.”
Last month John Pickering, who founded Meadow Foods with Mr Chantler, died at the age of 73.
