The latest results have increased speculation that Grampian, which processes more than 7000 tonnes of chicken every week and 5300 tonnes of pork, is set to be sold for £400m.

Possible bidders for Grampian have been rumoured to include Brazil's two biggest meat processors, Sadia and Perdigao.

It emerged earlier this year that corporate finance specialist Morgan Cazenove had been appointed to handle the sale of the company, which is the UK’s largest meat processor and employs about 20,000 staff in the UK and Thailand.

Rising input and production costs, coupled with competition from abroad, left the Scottish firm with pre-tax losses of £40m in the previous 12 months. However, Grampian has said that its performance had improved considerably and restructuring had enabled it to trade profitably.

The company has made no comment regarding a sell off. Company founder, Fred Duncan, is estimated to net £275m if the firm is sold.