Testing times lie ahead for UK bakery manufacturers, according to
industry analyst group Plimsoll, who say one in four companies are
currently at risk of failure.
Japanese firm Yamazaki Baking is the world's largest bakery firm,
heading a list dominated by Europe-based food groups, according to
a new report from industry analysts Leatherhead Food International
(LFI)
Marketing strategies - two words that incorporate everything from
pseudo scientific research to shock value advertising campaigns.
But shouldn't honesty be the best policy?
Barentz Europe is strengthening its position bakery ingredients
with the acquisition of family-run MDB Twello - a move expected to
boost distribution for the latter's ingredients and may thus
introduce more manufacturers to lupin...
Danisco recorded revenue of DKK 15,220 million in the first three
quarters of 2006/07, a period which saw significant structural
change within the company.
The UK's second largest biscuit manufacturer, Burton's Foods, has
been acquired by British buy-out firm Duke Capital from US group HM
Capital Partners for what is believed to be around a £200 million
(€292.3m) sum.
Bakery ingredients manufacturer Royal Cosun has added to its global
businesses with the acquisition of supplier Atlanta Dethmers -
allowing the Dutch company a bigger share of the ingredients
market.
Hot weather, the rising cost of raw materials and a poor potato
harvest have contributed to a downturn in the German snack market –
threatening profits for producers balancing mounting costs with
waning demand.
The leading French private label sweet biscuit maker, Biscuits
Poult, has received a €12.5m boost from buyout fund firm European
capital as the firm invests in the company's standing in the
domestic bakery market.
Ingredients firm CSM is to jettison part of its French subsidiary,
Délices de la Tour, after a disappointing performance from the
speciality bread maker.
In a bid to cut costs, UK-based Premier Foods said it would close
down two of its factories over the next six months, cut about 450
jobs and invest in making three of its plants more efficient.
Increased investment in core bakery brands appears to have paid off
for food group RHM which has reported climbing profits despite poor
wheat supplies and high commodity prices denting trading
conditions.
UK food group Premier Foods is poised to consolidate its leading
position in the British snack market with the £1.23bn (€1.8bn)
acquisition of bakery company RHM.
UK group Associated British Foods (ABF) has taken full control of a
yeast and baking ingredients venture in the Philippines, previously
part-owned by Pilmico Foods, clearing the way for an expansion of
the business.
UK bakery giant Northern Foods has disposed of its well-established
pastry and flour divisions in order to focus fully on the core
pizza, ready meals and sandwich sectors of its snacking empire.
Northern Foods reported a drop in bakery sales this week with the
sector falling 6.6 per cent from 18.6 per cent after a
disappointing performance for the quarter ended 30 September.
Northern Foods yesterday reported a 1.1 per cent drop in underlying
revenues for the quarter ended 30 September, as the UK-based
company continues to shed underperforming units.
"Unsatisfactory trading" from Associated British Foods' (ABF)
bakery sector has pulled down profit for the food group who
announced a 21 per cent drop in operating profits from £550m
(€820m) to £433m (€645.5m) last...
If the Chinese government gives in to mounting international
pressure to revalue its currency, it could spell the end of cheap
exports, a move that many anticipate would have a knock-on effect
on raw materials costs for the food industry....
The UK's second largest cake maker Inter Link Foods said yesterday
its management were working with a private equity firm to broker a
possible takeover of the company.
Changes to Danisco's ingredients division will lift the EBIT margin
for the segment to above 15 per cent, according to the firm's
announcement of Q1 2006/07 results.
The market for healthy, convenience snacking is going from strength
to strength, according to UK snack group Glisten who posted
encouraging preliminary results today.
British bakery Inter Link Foods has blamed waning cake sales
earlier this year on unfavourable weather conditions but reported
an already strong market for the Christmas period.
The £1.7bn (€2.5bn) struggle to acquire British bakery group United
Biscuits has intensified with US buyout firm Blackstone set to
table a bid for the company at Thursday's auction.
The UK division of Cereal Partners Worldwide which produces Nestlé
cereal brands such as Shreddies, Cheerios and Fitnesse has
announced plans for expansion.
Despite set backs to its global expansion plans, the Sara Lee
corporation has revealed that's its North American bakery division
still remains profitable.
The iconic UK Sugar Puffs breakfast cereal - advertised by the
product's signature character Honey Monster - is set to make a
comeback as the brand is sold to the food buy-out company Big Bear.
Following its recent acquisition of snack manufacturing companies,
Humdinger and Readifoods, food buyout company Zetar has announced
growing profits for its second year of business.
Dutch ingredients producer CSM is poised to sell its lucrative
sugar business to Royal Cosun in an effort to streamline their
bakery portfolio and strengthen growth in pivotal areas.
After six months of sliding sales, rising production costs and now
a devastating factory fire, Northern Foods' chairman has warned the
year's first-half profits will be dented.
Despite warning of a possible drop in sales, UK bakery and
ingredients manufacturer, the Real Good Food Company (RGFC), has
said it is on track to meet targets when it announces interim
results later in the year.
Global ingredients manufacturer, Tate and Lyle, has announced that
expansion at its new artificial sweetener facilities is on target -
heralding an imminent boost in supplies to manufacturers.
The UK's Premier Foods is believed to have offered United Biscuits
an initial £1bn bid for its northern European snack food operations
- even though City analysts claim the business is worth £2.3bn.
Fire has devastated a UK bakery plant owned by struggling food
processors, Northern Foods, in an incident likely to harm their
already faltering profits.
UK cake and bread manufacturer, Finsbury Foods, has announced its
yearly profits will be in excess of company predictions, cementing
its position in the speciality bakery sector.
Kellogg, the world's biggest breakfast cereal maker, is in talks to
buy a Chinese food company as part of its plans to boost sales in
Asia, according to a report.
