Symington’s reported a 26% rise in earnings before interest, taxes, depreciation and amortisation (EBITDA) to £9.2M for the year on a like-for-like basis, compared with the same period in 2016.
Net profit saw the biggest turnaround for the company, up £7.3M to £1.7M, bouncing back from a loss of £5.6M in the previous year.
The company had experienced 15 consecutive years of growth up until 2015, when it experienced its first dip in pre-tax profits and sales.
Symington’s saw sales growth of 5.8% year-on-year for the year ended August 27 2017. Sales of its convenience pasta and noodle brands Mug Shot and Naked Noodle grew 18% and 95% respectively.
‘A complete turnaround’
Commenting on the results, Symington’s chief executive officer John Power said: “I am very proud of these results which illustrate a complete turnaround from the prior year and are reflective of the tireless and dedicated work of colleagues throughout the business.
“In the second half of the year, we switched focus to deliver a top line growth strategy, with significant investment in marketing and new product development behind our brands. This strategy has proven very successful and we feel hugely excited and confident for the future.”
The 2016/17 financial year saw Symington’s take on a new senior management team, led by the appointment of Power in October 2016. In February 2017, Matt Lee was appointed as chief commercial officer, while Clare Urmston joined the company as chief financial officer in May.
Power added: “With a new management team in place, we initially focused on reducing our cost base and ensuring a platform for growth and brand investment.
‘Everything to play for’
“With a product range that spans brand and own-label and satisfies demand for convenient, tasty food in our busy lives, backed by a team that can realise their potential, we have everything to play for.”
Leeds-based Symington’s employs about 700 people and is the owner of Mug Shot, Naked Noodle, Chicken Tonight and Ragu.
It also produces foods under long-term license from Ainsley Harriott, Aunt Bessie’s savoury baking range, Golden Wonder and multiple children’s licences such as Peppa Pig.
Meanwhile, Bakkavor posted a rise in sales ahead of its full-year results, as analysts give a ‘buy’ rating to the manufacturer’s stock.
Symington’s results – at a glance
- Net profit before tax – £1.7M
- EBITDA – £9.2M
- sales growth of 5.8% year-on-year