21st May 2020 12:05
(Alliance News) - Hilton Food Group PLC on Thursday said it has seen demand increase from December 30 to date.
The FTSE 250-listed food packaging firm said that while demand has increased during the lockdown period, costs have also increased due to the implementation of safety measures and the signing of an agreement to build a packing plant in Belgium.
The plant is being built in order to meet the red meat requirements of Delhaize and production is expected to start in September.
Hilton Food said that in the UK and Ireland, revenue has grown "strongly" year-on-year. The growth was attributed to an increase in meat purchases by customers during the lockdown period as well as the move to supply 100% of Tesco's red meat in the UK from mid-2019.
In central Europe, revenue growth has been driven by red meats and fresh food, and growth in Australia has also been helped by increased demand for red meat as well as the ramp up in Queensland volume.
Hilton said its financial position remains strong and it continues to seek out investment opportunities with the goal of growing its business domestically and overseas.
Results for the 28 weeks to July 12 will be published on September 17.
The stock was trading 0.2% lower at 1,282.00 pence each at midday Thursday in London.
By Ife Taiwo; [email protected]
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