Export sales up 50% on a year ago and UK sales also up nearly 11%
Confectionery maker Thomas Tunnock has reported strong sales and profits for the financial year with exports up 50 per cent.
The maker of teacakes and caramel wafers said turnover for the year to February 2012 rose by 16 per cent to £37.8 million and pre-tax profits were also up 16 per cent on a year ago to £3.63 million.
Tunnock said UK sales rose from £27.8 million last year to £30.8 million, with exports up 50 per cent to £7.02 million.
The company launched a new mini tub product extension of its caramel wafers in the past year and may extend “other products” within its product range going forward.
Last year Tunnock posted a a 235 per cent rise in profits to £3.41 million, the bulk of which - £2.03million – was attributed to "non recurring exceptional items and other operating income,” believed to have come from a successful legal action.
The Uddingston-based firm, which makes around five million caramel wafers and teacakes a week, said its gross profit percentage margins in the past year rose to 35.5 per cent against 32.3 per cent the previous year, despite raw material costs rising 33 per cent to £967,212.
Gross profits for the year were £13.4 million compared with £10.5 million reported for 2011 and there was a three-fold increase in operating profits to £3.63 million.
The company has also reported a slight drop in staff numbers in its manufacturing and transport operations in the past year, down to 476 against 490 reported in 2011.
Tunnock said it had invested £1.76 million in new plant in the past year, which it said was “essential” to maintain its position at the forefront of the market.