THE Real Good Food Company saw its share price climb 1.3% in spite of confirming a sugar dispute has hit annual profits and is still unresolved.
The business, which includes Carluke based jam maker R&W Scott, among its subsidiaries, expects earnings before interest, tax, depreciation and amortisation to be £3.3 million in the 12 months to March 31.
That would compare to EBITDA of £10.5m which resulted in an underlying pre-tax profit of £6.3m in the previous year.
The Napier Brown subsidiary is involved in a pricing dispute with British Sugar, owned by Associated British Food, and has made a complaint which has been referred to the Competition and Markets Authority.
Real Good Food said its Garret Ingredients arm was also feeling the impact of that but admitted: "The group remains unable to be definite on a timetable for the resolution of the dispute."
It said that problems had masked good progress in other parts of the company which included year-on-year EBITDA growth at bakery ingredients firm Renshaw and dessert maker Haydens.
Other group businesses were said to be in "good shape" with investment in R&W Scott delivering sales growth.
Shares closed up 0.5p at 38.5p.
Why are you making commenting on The Herald only available to subscribers?
It should have been a safe space for informed debate, somewhere for readers to discuss issues around the biggest stories of the day, but all too often the below the line comments on most websites have become bogged down by off-topic discussions and abuse.
heraldscotland.com is tackling this problem by allowing only subscribers to comment.
We are doing this to improve the experience for our loyal readers and we believe it will reduce the ability of trolls and troublemakers, who occasionally find their way onto our site, to abuse our journalists and readers. We also hope it will help the comments section fulfil its promise as a part of Scotland's conversation with itself.
We are lucky at The Herald. We are read by an informed, educated readership who can add their knowledge and insights to our stories.
That is invaluable.
We are making the subscriber-only change to support our valued readers, who tell us they don't want the site cluttered up with irrelevant comments, untruths and abuse.
In the past, the journalist’s job was to collect and distribute information to the audience. Technology means that readers can shape a discussion. We look forward to hearing from you on heraldscotland.com
Comments & Moderation
Readers’ comments: You are personally liable for the content of any comments you upload to this website, so please act responsibly. We do not pre-moderate or monitor readers’ comments appearing on our websites, but we do post-moderate in response to complaints we receive or otherwise when a potential problem comes to our attention. You can make a complaint by using the ‘report this post’ link . We may then apply our discretion under the user terms to amend or delete comments.
Post moderation is undertaken full-time 9am-6pm on weekdays, and on a part-time basis outwith those hours.
Read the rules hereComments are closed on this article