Burger maker cooks up £9m losses
UK - Burger and frozen food supplier Canterbury Foods has dismayed shareholders with a £9m write-down on its meat business that pushed first half losses to £11.5m.The company warned in July that high beef and energy costs and lower food prices meant that its margins were under pressure.
But the scale of losses - £1.7m before goodwill and exceptionals, compared to £90,000 the year before – shocked investors into selling off the stock.
The company’s share price dropped 25% to 7.5p on Thursday, 22 September, down from nearly 30p in June.
Net debt was also up, reaching £19.1m at the end of June, and the firm said it was actively looking at ways to reduce the pile.
Source: FWi
26 September 2005
1 minute read
