Sizzling Cranswick sees profits soar

The Hull group, which was started by farmers in the early 1970s to produce pig feed, said sales increased by 22 per cent to 740 million in the year to March 31, while pre-tax profits lifted to 43.8 million from 34.7 million a year earlier.

East Yorkshire-based Cranswick said sales of cooked meats rose by 13 per cent, sausages by 23 per cent and bacon by 61 per cent, supporting its decision to invest in these categories in recent years.

The company added that increased consumer spending on such products looked set to continue this year due to the "value and versatility" of pork.

Cranswick, which boasts supply contracts including the Sainsbury's Taste the Difference range, expanded its business during the last year with the acquisition of family-run Bowes of Norfolk in a 17.2 million deal.

As well providing pork for Tesco's Finest, standard and value ranges, Bowes supplies the UK's main meat manufacturers, who make hams, pies, sausages, bacon and processed meats for the major retailers and restaurants.

Stripping out the impact of the deal, Cranswick sales still rose by 11 per cent on a year earlier.

It added that pig prices during the second half of the financial year eased from the highs seen last year but were now firming again.

Chief executive Bernard Hoggarth added: "The continued price competitiveness of pork against the other major proteins including beef and lamb should also ensure that demand for pork remains strong and that prices remain relatively firm."