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Ebitda up 53.4% in Boparan’s third quarter

Ranjit Singh

BOPARAN HOLDINGS has recorded significant earnings improvements in its third-quarter financial results, which cover the thirteen weeks to the end of April.

Like-for-like earnings before interest, tax, depreciation and amortization (LFL EBITDA) were up 53.4% when compared with the same period a year earlier.

The improvement was driven by the company’s poultry division, which recorded a 63.2% leap in LFL EBITDA to £20.4m.

Boparan Holdings is on a drive to improve financial performance at the firm, which is the parent company of 2 Sisters Food Group.

It said focus had been on commercial margin improvements, agricultural efficiency, fixed cost efficiency and conversion cost efficiencies.

The improvements were despite a 1.2% impact on sales because of coronavirus, and poor performance in the firm’s European operation, where low prices and avian influenza hit profitability.

Overall like-for-like revenues were up 1.6% to £671.8m, while LFL revenues in the poultry division grew 3% year-on-year, to £483.5m.

Net debt was lower, at £606.3m compared with £624m the year before.