Danish Crown, Europe’s largest pork processor, is set to pay out €168m in bonus payments to its pig and beef farmer suppliers. The farmer-owned meat company said it would pay its pig farmers a bonus price of 12c/kg for all meat supplied, while beef farmers would receive a dividend bonus of 11c/kg.

Danish Crown saw its turnover for the year grow by 6% to reach €7.6bn

Danish Crown made the announcement as it unveiled full year results for its 2018/19 financial year.

The company recorded double digit profit growth in the last 12 months after a roller coaster financial year in which pig prices ranged from rock bottom at the start of the year to record highs in recent months.

Danish Crown saw its turnover for the year grow by 6% to reach €7.6bn.

In total, Danish Crown’s pork exports to China were up 30% in volume terms last year, but were up almost 65% in value terms

However, operating profits soared more than 20% throughout the year to €338m, as operating profit margins widened from 3.9% in 2017 to 4.5% last year.

Danish Crown said the African swine fever (ASF) epidemic that swept through China has boosted pork prices by 40% in recent months and driven record export demand from Asia.

In total, Danish Crown’s pork exports to China were up 30% in volume terms last year, but were up almost 65% in value terms.

The dramatic swing in the global pork market and soaring pig prices have left Danish Crown in a healthy financial position at year end. The company was able to reduce its debt by almost €110m, while the net asset value of the business has increased to €3.8bn.