AUS
NZ
UK
CA
USA
IND
Summary
- Hilton Food Group PLC had expected to start a New Zealand meat and fish plant during the third quarter of 2021.
- The red meat business turnover in the UK had shown growth during the year so far.
- The Denmark-based revenues had increased, driven by the growing volumes of chicken products.
Hilton Food Group PLC (LON:HFG) is the consumer Company listed on the London stock exchange. HFG’s shares have generated a return of negative 4.65% in the last 12 months. HFG is listed on the FTSE 250 index.
On 16 September 2021, HFG will announce interim results for the 28 weeks ended 18 July 2021.
Company Overview
Hilton Food Group PLC (LON:HFG) is the leading UK-based meat packaging Company. Moreover, HFG provides B2B services and closely work with food retailers to assist them in serving their customers. The Company has six factories and two joint ventures. The products are sold in 14 European countries and Australia.
(Source: Company result)
Trading Update (as of 24 May 2021)
Robust Trading Momentum - HFG had witnessed encouraging trading performance so far as it remained in line with the expectations with positive momentum in several markets.
Covid-19 benefits in Europe – HFG had benefitted in Europe during the Covid-19 restrictions due to changing consumer eating preferences as most consumers would opt for home consumption during the pandemic. However, the Company had continued to incur Covid-related costs in these markets.
Increased volumes in Hilton Seafoods – The Company had demonstrated increasing volumes for the Hilton Seafood, and it had witnessed a transformation from counter sales to centrally packed products. Furthermore, the red meat business turnover in the UK had shown growth during the period in comparison to an equivalent period of the prior year.
Significant progress in Scandinavian markets – The Company had witnessed turnover growth in Scandinavian markets. However, it remained concerned regarding the Sweden business due to the lack of availability of Swedish meat. On an optimistic note, the sales in Denmark had increased positively, driven by the growing volumes of chicken products.
Start-up of New Zealand meat and fish plant – HFG had anticipated starting New Zealand meat and fish plant during the third quarter of 2021. Moreover, the Australia-based business was benefitted from the annualization of the higher Queensland volume as well as the complete consolidation of the results of Bunbury and Truganina.
One Year share price performance of Hilton Food Group PLC
(Source: EODHD/Others, Thomson Reuters)
HFG shares were trading at GBX 1,229.00 and were down by close to 0.08% as of 24 May 2021 at 11:02 AM GMT. The 14-day RSI stood at ~60.60, while the 20-day simple moving average was around GBX 1,219.45. HFG’s 52-week Low and High were GBX 986.00 and GBX 1,352.00, respectively. Hilton Food Group PLC had a market capitalization of around £1.01 billion.
Business Outlook
For the plant-based joint-venture, Dalco, the sales had shown marginal improvements during the period, even after trading across major food service outlets was adversely affected by the Covid-19 lockdowns. As a result, HFG would continue to seek further opportunities in the roll-out of plant-based products. Moreover, the Company is well-positioned financially to fund all the announced expansion plans. In a nutshell, the Company would keep exploring several growth opportunities with new and existing customers in both domestic and overseas markets.
