UK leads the way in Bidvest sales and profit surge
Foodservice was the star performer in Johannesburg-based Bidvest Group’s results for the half year to 31 December 2015, increasing global trading profit by 22% to 2.3 billion ZAR (£100 million).
This overall rise was exceeded in the UK, where the trading surplus rose by 37.6% to 717.7 million ZAR (£32.7 million) on sales 27.3% higher at 30.4 billion ZAR (£1.4 billion).
Commenting on the UK results, chief executive Brian Joffé said: “Our strategic focus remains on building an entrepreneurial culture while driving free-trade volumes.
“The south of England infrastructure programme is progressing well. However, logistics had a difficult period, impacted by excess capacity, delayed new contract start-ups and high vehicle expenses, yet it achieved sales growth. We also won a major long-term contract.”
Joffé said that the UK’s Bidvest Fresh business faced a tough six months because the seafood division experienced operational challenges. However, Oliver Kay (the fruit & veg division) did well.
In continental Europe, (the Netherlands, Belgium, Italy, Poland, the Czech Republic, Slovakia, Baltics and Turkey), trading profit rose by 27.5% to 435 million ZAR (£19.8 million) on sales ahead by 13.4% to 14.4 billion ZAR (£650 million).
Joffé, 68, who founded Bidvest in 1988, and has been CEO for 12 years, is to step down shortly when final plans are in place to spin off the group’s foodservice division from the rest of the business.
Tel: Bidvest Foodservice (0370) 3663 000