Cranswick PLC (LSE:CWK) said it expects full-year results to be at the upper end of market expectations after first-half profits fattened up 23.6% and demand for its pork and poultry products remained strong.
The FTSE 250-listed company hiked its interim dividend 10% to 22.7p after adjusted profit before tax increased 24% to £81.6 million in the 26 weeks ended 23 September.
Revenue grew 12.3% to £1.25 billion, with like-for-like sales up 12.0%, but volumes fell 2.7% due mainly to lower exports as both pricing and demand from China were said to remain subdued.
Chief executive Adam Couch said investment in its assets had been the key, including a “relentless focus” on automation, adding scale and delivering further quality, technical and safety improvements.
The pig farming operations were also expanded with the £31.7 million acquisition of the Elsham Linc indoor pig farming business.
“Momentum has continued through the start of the third quarter as our customers and the UK consumer continue to appreciate the affordability, value for money and versatility of our core pork and poultry categories,” he added.