Grimsby seafood giant Seachill has posted a 17 per cent increase in sales for 2018, with turnover smashing through the £300 million mark.
Annual results show how Tesco’s resurgence has also been a key feature, with 82 per cent of sales channelled through the long term supply agreement to the nation’s number one retailer.
The company, now part of Hilton Food Group following a buy-out in 2017, also saw profit increase by 5.3 per cent to £7.9 million in the final full year with Simon Smith at the helm. He has subsequently made the shock move to market leader and town rival Young’s.
In the report for the 12 months to December 29 - the first full year since ownership switched from Iceland to the Ƶ - major contract wins are also highlighted that should propel the dual-site operator further in the current financial year.
It secured coated and shellfish work for Tesco, understood to be worth £50 million.
Full time staff were up almost 200 from 772 to 969, with more than 500 agency staff supporting.
In the strategic report, director Andrew Rutherford said: “Trading during 2018 was overall strong and sales of £306.9 million we re 17.4 per cent higher than the prior year. The business navigated further raw material inflation and developed its offering with the commencement of supply to the main customer of a new product category that will drive additional benefits in 2019 from the full year effect.
“The business further developed during the period with product wins from existing customers and the effect will be felt in 2019.”
The year also saw expansion work at the South Humberside Industrial Estate factory, to handle the Tesco work and a Waitrose win, with plans also in place to double the size of production facilities at Great Grimsby Business Park
Mr Rutherford said new and replacement business is being won continually, with new markets developed in line with the company’s strategy. Accidents and absenteeism rates have falled, with production efficiencies also gained.
On Brexit concern remains, though the company has been buoyed by the Norwegian trade deal and the visit of signatory, Norwegian Ambassador to the Ƶ Wegger Chr Strommen, last month – a fortnight ahead of Mr Rutherford signing the results off. Salmon is a huge import.
“There is significant uncertainty concerning post-Brexit trade arrangements with potential wide-reaching impacts from a possible ‘no-deal’ scenario requiring increasing diversion of resources to prepare for the range of possible outcomes, as the possible exit date draws nearer,” he said.
“These potential impacts on the company include our ability to hire employees from the EU, increased trade tariffs on imported goods, possible border delays, currency volatility and dis-harmonisation of Ƶ and EU regulatory standards in a range of areas.
“The company meets regularly with relevant industry bodies and has put in place a range of contingency measures including an increase of stock holding and flexible buy models. “Overall, we believe that the company is sufficiently resilient to withstand these uncertainties whilst minimising disruption.”
