REG - Hilton Food Grp Plc - Trading Update

Hilton FoodAnnouncement

13/01/2022 07:00

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RNS Number : 1045Y  Hilton Food Group PLC  13 January 2022

 

13(th) January 2022

 

 

HILTON FOOD GROUP plc

 

TRADING UPDATE FOR THE 52 WEEKS ENDED 2(nd) JANUARY 2022

 

·    Full year trading in line with Board's expectations

·    Dutch competition authority clearance for acquisition of Foppen

·    Joint Venture agreed with Agito Group Pty Ltd further enhancing our
technology expertise

 

Hilton Food Group plc ("Hilton" or the "Group"), the leading international
multi-protein food  business, today provides a trading update for the 52
weeks ended 2(nd) January 2022.

 

We are pleased to report the Group has performed in line with the Board's
expectations, with year-on-year sales growth driven predominantly by organic
expansion.  Over the two year period we have seen strong, sustained growth,
as we deliver towards our goal of becoming the global protein partner of
choice.

 

In Australia, where we have seen strong double-digit growth, we are
successfully operating as a unified business covering the sites of Bunbury
(WA), Truganina (VIC) and Heathwood (QLD). The  New Zealand facility, being
our first multi-protein food park, opened in early July and volume has
continued to grow during the course of the year.

 

In Europe, we have continued to make good progress across the markets in which
we operate, and we have seen strong growth on a two year basis. As expected
against strong prior year comparatives, regional revenue is broadly flat for
the year reflecting the increase in consumers eating out following the
re-opening of food service in the second half. Within the UK we have seen
strong growth in the slow cooked business, while in Central Europe, we have
delivered continued volume growth in fresh food across our customers.

 

We have continued to diversify the business across proteins and routes to
market. As noted in the Q3 update, in Denmark we are now packing chicken,
vegetable protein as well as fish products. During the year, we have acquired
the remaining 50% of vegetarian and vegan food producer Dalco and the food
service protein provider Fairfax Meadow. In December, we annouced the
acquisition of the speciality smoked salmon producer, Foppen. We have now
received Dutch competition authority clearance for acquiring Foppen, and are
currently working to obtain works council approval. In all cases we are
developing plans to continue to grow these businesses and integrate them into
the Group.

 

In addition, we have acquired a 50% interest in Agito Group Pty Ltd ("Agito"),
a provider of automation and software controls which supported the Group in
the establishment of our highly automated facilities in Australia and New
Zealand. Our intention is to support the global expansion of the Agito
business, which will add to our existing technology offering of Foods
Connected and our continued application of robotics and automation to our
facilities in support of the supply chains of our customers. Further details
regarding Agito are in the notes section of this update.

 

We continue to deliver against our wider environmental and sustainability
targets across the three key categories of product, people and planet. We
received approval during the year for our Science Based Targets and continue
to demonstrate leadership in sustainable packaging, exceeding our target, with
70% average recycled content in packaging achieved.

 

Hilton's trading outlook remains positive, with growth prospects underpinned
by the expansion plans previously announced, the four recent acquisitions of
Dalco, Fairfax Meadow, Foppen and Agito, as well  as further opportunities
arising across our markets by the development of our cross category business
and the application of Hilton's supply chain management expertise. Funding is
in place to cover the announced expansions and the Group's financial position
remains strong. We will continue to explore opportunities to grow the business
in both domestic and overseas markets.

 

The Group will publish its preliminary results on 6(th) April 2022.

 

Enquiries:

 

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

 Philip Heffer, Chief Executive Officer
 Nigel Majewski, Chief Financial Officer

 Headland Consultancy                     Tel: +44 (0) 20 7638 9571

 Edward Young

 Will Smith

 Joanna Clark

 

 

 

Notes

 

About Hilton

Hilton Food Group plc is a leading international multi-protein producer,
serving customers and retail partners across the world with high quality meat,
fish, vegan and vegetarian foods and meals. We are a business of over 5,000
employees, operating from 19 technologically advanced food processing, packing
and logistics facilities across 16 markets in Europe and Australasia. For
almost thirty years, our business has been built on dedicated partnerships
with our customers and suppliers, many forged over several decades, and
together we target long-term, sustainable growth and shared value. We supply
our customers with high quality, traceable, and assured food products, with
high standards of technical excellence and expertise

 

Hilton enters into joint venture with automation solutions provider, Agito
Group Pty Ltd

Hilton is pleased to announce that on 6(th) January 2022 it entered into a
joint venture with the founding shareholder of Agito Group Pty Ltd. Agito is a
long established and profitable business, delivering projects in the
Australian and New Zealand market since 1984, currently with offices and
manufacturing facilities in both Western Australia and New South Wales. The
joint venture will enhance Hilton's automation and technology solutions
offering to retailers and logistic providers - an area of focus as they seek
to improve supply chain management and increase efficiency, transparency and
control. The joint venture will also accelerate Agito's global expansion
plans.

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