Glenrath Farms has reported an annual pre-tax profit of £2.010 million in the year to 31 May 2022, according to newly published accounts filed with Companies House.
The Scottish egg giant’s profits the year before were more than double this, at £5.130 million. Sir John Campbell, the company’s chairman, said in his report that while profits fell, the figure was achieved with the backdrop of “significantly increased macroeconomic volatility”.
Revenue for the year was £57.25 million, very slightly lower than the previous year when the figure was £57.89 million.
“The pressures of rapidly rising input costs have reduced margins, whilst the risks associated with Avian Influenza, and the increasingly difficult labour supply market, have grown considerably,” Sir John added.
Nevertheless, the company has continued to invest in new plant and equipment. New grading facilities are being installed in Glenrath’s main packing station, and robotics represent an ever increasing part of the production process.
The economic pressures facing consumers are changing the marketplace, Glenrath notes, with pressure on sales of organic eggs due to the additional cost. “Consumption has fallen significantly in the past year and we will adapt production accordingly.”
Sir John added the future held many challenges, particularly in relation to additional input costs and the ongoing shortage of labour, but he had no doubt the company’s management team would rise to the challenge.