INDEPENDENT meat, ingredient and equipment supplier JR Dalziel has seen its annual profits top £10 million for the first time in its near 90-year history.
Accounts being lodged at Companies House will show the Lanarkshire business, which employs more than 500 at its depots around the UK, saw turnover increase almost seven per cent from £144.86m to £154.7m as a result of organic growth and benefits from previous acquisitions.
That increase in revenue helped push pre-tax profits up 12 per cent from £9.8m to £10.98m in the 12 months to September 26, 2014.
The directors confirmed this was the first time "profits have been reported above the £10m mark".
The business supplies meat, lamb, pork and poultry to thousands of independent butchers around the UK.
Along with that it also supplies food packaging, butchery equipment - ranging from plastic trays, hats and knives to industrial machinery - and sauces, crumb, batter and seasonings.
Although it does not sell directly to supermarkets its products do reach the multiples via the processing trade.
Directors said a new distribution site in Stockport was completed during the year along with a savoury ingredient blending facility in Hull to serve retail butchers. The cost of those projects was said to have exceeded £1m.
Chairman Ian Darroch said the latest financial year had started well and the company, which has its headquarters in Bellshill, was hopeful of increasing profits further in the 2015 trading period.
During this year JR Dalziel plans to extend its sites in Gateshead and Nottingham as well as investing in a company-wide upgrade of its IT systems. The cost of those projects has been pencilled in as around £3.5m.
Mr Darroch said its fleet of trucks and vans is now 120 and further investment in that is also anticipated.
During the year the company reorganised its corporate structure with parent JR Dalziel Holdings Limited being renamed as JR Dalziel Limited.
Below that are three trading subsidiaries with Dalziel Limited trading from sales and distribution sites around the UK, Rillatech focused on food packaging and Dalziel Ingredients making blended savour ingredients.
There were no acquisitions in the year but Mr Darroch said: "The directors do continually consider strategic acquisitions within our market sector and will pursue any opportunity that matches the group's product expertise and service reach."
According to the accounts JR Dalziel, which has made dozens of acquisitions to expand its operations since the 1980s, would be in a strong position to go after deals as its net funds stood at more than £6.2m, up from £3.1m.
Staff costs in the year rose from £14.5m to £16.2m with average employee numbers increasing from 470 to 512.
Total directors' remuneration increased from £603,362 to £613,811. The highest paid director saw their emoluments drop marginally from £258,240 to £254,164.
The dividend payment of £5m was maintained at the same level as the prior year, which had been the first time the company had made such a payout.
The value of stock at the year-end was £8.87m, up from £8.5m.
The business was founded by Joseph Roland Dalziel in 1926. He is the grandfather of current managing director Alexander Stuart Dalziel.
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