Profits soared by over 40% at dairy and plant-based ingredients supplier Meadow Foods in 2021-22, thanks to a £63m boost to revenue.
Sales at the Cheshire-based supplier – which rebranded as Meadow last month as part of a wider sustainability push – rose by 16.3% to £450m in the year to 31 March.
This helped pre-tax profits jump by 42.7% to £21.4m, showed accounts posted with Companies House this week.
Meadow attributed its turnover increase to rising milk and dairy ingredient prices, alongside “some volume growth” of ingredients, while exports performed solidly. Its plant-based business, though “still in its infancy”, had secured a growing customer base and a “unique capability”, it added.
Distribution costs, however, did rise by 17.6% (or £1.8m) to £12m on the back of the increase in volume, while admin costs rose by 8% (or £1.2m) to £13.5m.
The underlying business “remained strong and the business continued to develop its value added product range”, Meadow said.
CEO Raj Tugnait described the results as “positive”, particularly considering they covered “a period when we were emerging from Covid and dealing with Brexit”.
“I am immensely proud of how our teams have dealt with the challenges of both these events, and how we have been able to continue our investment in new facilities and product development,” he added. “I am delighted that with the investment in our plant based facility, we will now be able to further support our customers in a growing product category.”
The company currently employs more than 450 people and handles in excess of 550 million litres of milk each year direct from its network of dedicated milk producers across the UK.
No comments yet