Cranswick PLC (LSE:CWK) shares rose 2%, back towards recent all-time highs, as the meat producer hiked its dividend 12.2% and announced the acquisition of Blakemans, a leading food service sausage manufacturer.
Underlying operating profits were up 11.8% to £206.9 million on revenue that grew 6.8% to £2.7 billion in the 52 weeks to 29 March, with like-for-like sales rising 6.4%.
Sales volumes grew 8%, driven by premium product range growth and strong Christmas trading.
Fresh pork export revenue rose 10% after the reinstatement of a China licence for the group's Norfolk site, while poultry revenue flew 20% higher, driven by new cooked and prepared retail listings.
Pet Products revenue increased 48%, as the Pets at Home business was onboarded.
The Blakemans acquisition has been completed for £32 million, paying six times underlying profits, with Cranswick saying this is part of a significant increase in its investment activity.
Total investment in the past year was £138 million (5.1% of revenue), the highest annual spend to date.
Over five years, investment has totalled £480 million across its asset base, with a new future target of continued investment at 40–50% of adjusted EBITDA.