2 Sisters Food Group profits fall

2 Sisters Food Group profits fall

Boparan Holdings, the owner of the 2 Sister Food Group, has reported a decline in first quarter operating profits.

The decline in profits has been blamed on costs associated with integrating Vion’s UK operations into the business and also once-off costs associated with factory closures.

Operating profits fell from £30.5m (€35.9m) for the corresponding period last year to £25.5m (€30m) this year.

Recent media reports suggest that the group is saddled with high debt levels following its spree of acquisitions in recent years, such as Vion’s UK poultry division, Northern Foods (from under the nose of Greencore) and cashflow and interest cover may be under pressure. Factory closure costs relates to the closure of the Haughley Park poultry facility.

First Milk targets cheese

British dairy group First Milk foresees growth opportunities within the cheese sector in Britain despite the frequently publicised ‘deluge’ of cheese being imported from Ireland, which is likely to increase further post April 2015.

They plan to invest £7m (€8.2m) in modernising and expanding production capacity at its Haverford West Creamery and are also planning further investments in 2014 and 2015 to further expand its cheese production capacity, for what it cites as the ‘growing demand’ for cheese.

DMK expands infant formula

German dairy giant DMK is to invest in increasing the production capacity of its Humana baby food business by spending €5m on capacity at its Humana production site in Herford, Germany.