Moy Park has shrugged off higher chicken feed costs to post a fivefold increase in profits.
The chicken processing giant achieved a pre-tax profit of £24.4m in 2012, an increase of £19.6m on the previous year. Turnover was up 1.6%, to £1.09bn.
Operating cost improvements and productivity initiatives had helped shield the business from the difficult market environment, and had resulted in an improvement in pre-tax profit and trading margins, said Moy Park CEO Nigel Dunlop. “We were particularly successful in building our market share with existing and new customers.”
Despite Moy Park’s strong financial recovery, it remained conscious of feed cost volatility and the continued challenges it posed to the whole supply chain, Dunlop said. Moy Park would continue to invest “materially” in its farming and operational base to help grow sales of chicken farmed in Great Britain and Northern Ireland.
In 2011, profits plummeted 82.8% as inflation took its toll on the business.
In April, Moy Park took over responsibility for parent Marfrig’s entire European operations including Keystone Europe, Seara and Marfrig.