Capespan returned to profitability in the UK in the last financial year as it divested its packing operation and left Sheerness for Maidstone.
For the year to 1 January 2012, Capespan International Ltd recorded a pre-tax profit of £672,000 compared to a loss for the previous year of £1 million, a new report filed at Companies House shows.
Steve McVickers, who joined the company as MD in March this year, said: “In 2011 Capespan closed the Fresh Fruit Services packing operation. Looking back, we can see what a good move this has been for Capespan already. We can be focused, committed and specialised without having a freehold packing facility – being free of the freehold assets is liberating.”
The closure and liquidation of FFS and subsequent move from Sheerness has meant Capespan is now free to invest in specialist packing but in partnership with third-party service providers. McVickers added: “This year is challenging but it is most welcome to have the business and the team focused on our core supply chain activities. That is what Capespan does best.”
As a result of the new focus, turnover fell from £76.2m in 2010 to £59.7m a year later.
The positive UK performance was reflected across the group as a whole. According to Capespan Group’s recently published annual report, the company posted 2011 sales of £199.8m at this week’s exchange rates, a 2.9 per cent increase, with adjusted pre-tax profit of £8.1m.
The farming division increased revenue by 34.6 per cent on the back of higher grape pricing as well as the inclusion of Rapiprop’s results as a subsidiary for the full year, while fruit division revenue rose two per cent despite a decline in the overall volume of fruit sold.
MD Johan Dique said: “The vision in the long-term strategy of the group includes the commitment to overcome and manage the challenges faced in the objective of building a sustainable business, and the group’s integrated reporting will continue to improve.”
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