For the year commencing April 2011, Fletchers Group continued where it left off at the end of March 2011, with continuing strong sales growth.
Year on year, sales are tracking at a double digit rate, growing the business thanks to a combination of satisfying existing customers and acquiring new ones.
Both retail and foodservice grew strongly, thanks to launches with major end-user foodservice accounts taking place over the preceding period as well as in the year to come. During the year, the business experienced some operational difficulties, which are now in the process of being resolved.
Input inflation has also followed on from last year, with high raw materials pricing - especially wheat - and pressure to retain low prices for Fletchers Group’s customers presenting a challenge. The Group has worked with its customers on this issue and is confident of a satisfactory resolution.
Looking forward to the rest of the year, the business is currently engaged in a project to dispose of excess land that will release a significant sum for re-investment in the Sheffield site. The process is well advanced, with conditional planning permission already being granted for the land being sold.
A successful conclusion to this process will significantly underpin the long term success of Fletchers Group.