Zetar to focus on premium after profit surge
Zetar, the confectionery and snack foods group, is to focus on premium private label and branded products over the next three years after achieving profits before tax of £6.7 million.
The company’s preliminary results for the year ended 30th April 2011 shows revenue up 2% to £135 million and profit up 6% to £6.7 million. Ian Blackburn, CEO of Zetar, comments, “We are pleased with the progress made during a year of many challenges. In particular, our Confectionery division achieved a record result reflecting a continued increase in everyday sales and improved mix of higher margin products allied to further cost efficiencies.”
The Confectionery division’s adjusted operating profit soared 22% to reach £5.7m while sales were up 3% at £85.9m compared with the previous year. The company attributed the strong performance to its success at retaining UK leadership in the supply of children’s licensed character chocolate products via its Kinnerton brand. Seasonal novelty products sold at Christmas and Easter also performed well.
Blackburn adds, “The margins in our Natural Snacks division improved significantly in the second half as price increases were implemented following the dramatic rise in commodity prices, and more branded products were sold. We have set ambitious plans for the Group to enhance revenue and margin over the next three years. Our key focus is to drive sales of premium private label and branded products across both divisions.
