Pork still proving a winner for Cranswick

CRANSWICK, the Hull-based food manufacturer, today said that sales had increased by 11% in the first quarter.

The firm, which recently had its £17.2m acquisition of Norfolk-based sausage manufacturer and rival Bowes given the green light, said that significant increases in sales had been seen in sausages and bacon as well as continental and charcuterie products.

However, sales of sandwiches were lower continuing last year’s second half trend although the firm is anticipating a reversal of the trend later in the year.

It said that raw material prices had increased yet further but was being “handled” through a combination of improved efficiencies and customer discussions.

“With strong cash generation and well invested facilities the board remains confident of the group’s prospects for the future,” it said in a statement.

In April, Cranswick announced it had sold its pet businesses to a management buyout team backed by Lloyds TSB Development Capital for £17m.

The manufacturer said the deal would allow it to reduce group borrowings ahead of the completion of the deal to buy Bowes.