UK convenience food company Northern Foods has announced reduced sales and profit for the year to 2 April 2005.

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Group turnover in the 52 week period was £1.448bn (US$2.64bn), compared with £1.542bn in the previous (53 week) year. However, sales in continuing operations rose to £1.416bn from £1.387bn.


Pre-tax profit was £80.2m compared with £86.0m the year before.


“We have made significant progress on our journey of transformation as we work to realise our potential as supplier of choice to UK and Irish retailers in added value convenience foods,” said chairman Peter Blackburn. “In the last 12 months, a comprehensive strategic review of the business has taken place, a new management team has been established and a simplified business structure and factory reorganisation has been implemented.  The significant changes that we have made during 2005 have given Northern Foods a sound platform from which to move forward.”  


“Despite tough market conditions and difficult Christmas trading, continuing sales grew at 2.0% to £1,416.1m,” he said. “The ambient division showed strong performances with continuing sales up 7.5%, and continuing operating profit before goodwill amortisation and exceptional items up 19.8% to £31.5m. Results from the frozen division were broadly stable with continuing operating profit before goodwill amortisation and exceptional items held at £36.1m. The performance of the chilled division was disappointing with continuing sales up 2.0%, but continuing operating profit before goodwill amortisation and exceptional items down 19.2% to £35.0m.”

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