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Salvesen hurt by food scares
Page 14
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• Christian Salvesen, the Edinburgh-based diversified food distribution and industrial services group, has announced pre-tax profits of 252.4m to year end March, an increase of 12%. Turnover was up from 2250m to 2311m.
Chairman John West said both the industrial and specialist services divisions produced "excellent improvements" in trading profits, but admitted the group had been hurt by "the temporary impact of food hygiene scares in the UK".
In distribution, profits were flat with the gains from the first full year contribution of the new German business being offset by disappointing results from the Netherlands and France, said managing director, Barry Sealey.
In the UK, major new contracts had been gained to manage dedicated composite distribution centres for Asda and Safeway and to run a centralised distribution system for the NHS. The company had also added new services from Birds Eye Walls, Hazlewood Foods and Great Mills DIY, continued Sealey, but the immediate benefits of these had been eroded by "sluggish retail volumes and food hygiene scares".