UK biscuit manufacturer Burton’s Foods has quadrupled its annual profits after its licence to make products for Cadbury drove an increase in sales.
The company, which owns brands including Maryland cookies, Dodgers and Wagon Wheels, and bakes Cadbury chocolate biscuits under licence, posted a net profit of GBP13.1m (US$20.6m) for its financial year ending 1 January 2011 – up from GBP3.6m the previous year.
Go deeper with GlobalData
Burton’s also enjoyed increased turnover, rising to GBP3.2bn from GBP3.1bn in the same period in 2010, and a rise in operating profit to GBP15m, up from GBP5.9m.
Jim Green, the company’s finance director, said the positive results were down to the success of the Cadbury licence, in which turnover increased 26%, improved operational efficiency and a “significant reduction” in administration expenses.
He added: “The company continues to drive down unit cost, recognising overcapacity in the industry.
“We remain confident that our current level of performance will be maintained in the future and that our ability to develop great innovative new products will continue to distinguish us from our competitors.”
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataGreen did however note that input costs continue to be affected by the rising price of commodities, particularly cocoa and dairy products.
