REG - Hilton Food Grp Plc - AGM Trading Update

Hilton FoodAnnouncement

24/05/2022 07:00

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RNS Number : 4279M  Hilton Food Group PLC  24 May 2022

 

Hilton Food Group plc

 
 
 

 

 24(th)  May 2022

 

 
                                 AGM TRADING
UPDATE

 

Hilton Food Group plc ("Hilton" or the "Group"), the international protein
partner of choice, is today providing a trading update for the period from
3(rd) January 2022 to date, ahead of its Annual General Meeting to be held at
noon today.

 

Overall, trading has been in line with the Board's expectations, with sales
ahead of last year primarily reflecting increases in raw materials as well as
the execution of growth initatives

 

In Europe, against a strong comparative period, turnover is above prior year,
mainly driven by the higher raw material prices that are being experienced in
most markets. While higher prices have had some effect on volume, this has
been partly mitigated by strong growth in our Central European markets due to
the continued success of added-value fresh foods as well as in our slow cooked
products business in the UK. The Group has also benefitted from the continued
expansion of additional proteins such as fish and plant based across
geographies, particularly in the Scandanavian markets. We also continue to
make progress in the out of home food market, with our  food service
business, Fairfax Meadow performing in line with expectations, and Hilton Food
Solutions, our trading business  also performing well.

 

In Australia, we have  seen an increase in turnover. Volumes from our
Queensland facility were successfully ramped up last year supplemented by the
full consolidation of Bunbury and Truganina. In New Zealand, where we have our
first food park, volumes continue to increase, including our expansion into
fish products.

 

We completed the acquisition of Foppen, the speciality smoked salmon producer,
on 16(th) March. Full year growth expectations for this business are
consistent with our original assessment. We are now in the process of fully
onboarding Foppen into the Group and ensuring we identify and execute
opportunities to grow the smoked salmon business as well as cross selling
opportunities.

 

Whilst the outlook for the year remains challenging, with the impact of higher
input prices potentially reducing volume, we expect to make further progress
during the year ahead. We will also continue to implement initiatives and work
with customers and suppliers to help mitigate the impact of higher input
pricing. Medium term prospects are also underpinned by the recent acquisitions
of Dalco, Fairfax Meadow and Foppen, as well as other potential growth
opportunities.

 

We continue to deliver on our strategy to be the leading international protein
partner for customers, leveraging our market-leading engineering and
technology capabilities, including through our new joint venture with Agito
Group. During the period, we have also continued to deliver on the Group's
Sustainable Protein Plan.

 

The Group's financial position remains strong, having put in place committed
facilities to cover announced expansion plans with some headroom for further
growth. Hilton continues to explore opportunities in which to invest and to
grow the business both domestically and in overseas markets in addition to  a
number of growth options with our existing customers.

 

The Group intends to publish its results for the 28 weeks ended 17(th) July
2022 on 15(th)  September 2022.

 

 

 

 

For further information please contact:

 

Hilton Food Group
plc
Tel: +44 (0) 1480 387214

 

Philip Heffer, CEO

Nigel Majewski Retiring CFO

Matt Osborne, CFO Designate

 

Headland
Consultancy
            Tel: +44 (0) 20 3805 4822

Edward Young

Will Smith

Joanna Clark

 

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