Profits at Romford, which supplies beef and lamb to major retailers, fell from £486,000 to £43,000 in the 364 days to 3 January 2010, according to accounts filed at Companies House. Turnover increased by £2.67m to £98.6m.
The company had faced increased livestock prices and "continued pressure from major customers on selling prices", the directors said in their report to the accounts.
High stock levels had also made demands on its working capital.
Action had been taken to ensure production was in better balance with demand, reducing dependence on placing product into frozen storage, the directors added.
The company planned to expand market share through diversification and added value products.