Trading update
March 18 2003 - 2:01AM
UK Regulatory
RNS Number:8445I
Robert Wiseman Dairies PLC
18 March 2003
Strictly embargoed for 7.00am
18 March 2003
ROBERT WISEMAN DAIRIES PLC
TRADING UPDATE
Robert Wiseman Dairies will meet a group of major institutional shareholders at
its Droitwich Spa dairy today, ahead of its financial year-end on 29 March 2003.
At this meeting Chairman, Alan Wiseman, will give the following update on
current trading:
"The Company's sales volumes and turnover for the year ending 29 March 2003 are
in line with forecast and the Company remains confident it will deliver results
that are in line with current market expectations. We are delighted to report
that during January we commenced supply to additional Safeway stores in Scotland
and England. We are also pleased to announce that we will commence additional
deliveries to Tesco and Sainsbury's stores in England and Wales from April 2003.
In total, these increased contracts equate to approximately 100 million litres
per annum representing approximately 10% of the Company's current sales volumes.
These are significant developments for the Company and the new contracts will be
helpful in building volumes for our dairies, particularly Droitwich Spa. Our
strategy of investing in state-of-the-art facilities to supply the multiple
retailers is proving the correct one and we will continue with this approach as
we move forward.
In the light of the projected increase in sales, the Board has authorised
capital expenditure of #7 million to further increase capacity at Droitwich Spa
from 350 million litres per annum to its final capacity of 500 million litres.
Given the continuing decline of doorstep deliveries and the growth of milk sales
in the multiple retailer sector the Board is confident this capacity will be
successfully utilised with anticipated growth in demand from our customers in
the period ahead".
The full year preliminary results will be announced on Monday 12th May 2003.
- Ends -
Robert Wiseman Dairies PLC
Billy Keane, Group Finance Director Tel: 01355 244261
Weber Shandwick Square Mile
Ben Padovan / Peter Corbin Tel: 020 7067 0718
Hatch-Group
Graeme Jack Tel: 07900 430269
Notes to Editors:
1. Robert Wiseman Dairies is the third largest, but fastest growing, dairy
company in Britain.
2. Sales have been growing steadily since the Company floated in 1994, when it
had a market share in Britain of 2%. It is expected sales volumes for the
year to 29 March 2003 will exceed 1 billion litres (2002: 920 million
litres) and its current market share in Britain is estimated at 17%.
3. The Company's strategy has been to invest in the most modern processing and
distribution facilities available and to target supermarkets and the
multiple retailers specifically. It opened a dairy in Manchester in
September 1995 and at Droitwich Spa in April 2001.
This information is provided by RNS
The company news service from the London Stock Exchange
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