Cranswick Share Discussion Threads

[bluebelle] 11/4/2013 18:12

I think the thought of the Chinese tucking into a good old pork pie bodes well for world peace ! Now all we have to do is to convince them of the delights of a bottle of Bass and English mustard to go with it !!!

[bluebelle] 11/4/2013 17:33

Thanks chrisis : I particularly like the bit about exports !

[chrisis33] 04/4/2013 23:26

I'm a holder of CRAW, but Cranswick also mentioned in this article:

[swiftascent] 04/4/2013 20:45

RNS confirming sales boost in last qtr. CFO rightly saying too early to measure lasting effects. All good stuff.

[craffert] 25/2/2013 08:51

your friend at tesco must stack shelves as anybody could tell you that who works in any shop. did he also tell you that sales of top tier and branded have increased?

[hugenoise] 21/2/2013 14:00

a friend of mine is quite high up at tesco.say s ready meals, burgers and sausage sales have fell markedly.
gone short.

[hugenoise] 15/2/2013 14:55

too high.all sold

[spob] 13/2/2013 23:06

i would of thought cranswick would take a hit

because of folks avoiding all processed products at the moment ?

you can tell i'm still waiting to buy on the cheap here :)

[swiftascent] 12/2/2013 21:31

Further to go yet due to the horse meat in beef scandal giving an albeit temporary increase to demand

[danny murphy] 30/1/2013 08:32

Reduced today at 931p ; Balance of holdingat 494p!!

[exv] 29/1/2013 14:51

I've held Cranswick since mid-2011 and published an article yesterday on it at the blog:



Also some interesting comments, including a link to another post on Cranswick and a comparison to one of its competitors:



Cliffs are essentially that the company is very well run and earns great returns for what it does; this makes its biggest strength, and potential weakness, intrinsically linked to that point. We need to see a continutation of the returns on capital they've seen in the past to have faith in the current valuation of the business, of which I'm unsure.

I reckon it's not far off fair value either way.

[hugenoise] 18/1/2013 15:45

danny.900p.i win.

[danny murphy] 02/1/2013 18:06

sold some today at 870.60p; Balance of holding at 638p

[danny murphy] 19/12/2012 16:44

830p looking good!!

Only 35p short of my mid January target that I set in October.

[spob] 28/11/2012 00:09

Who gives a damn the opinions of some journalist who has to write about 500 different topics in a year and who has probably never bought a stock in her life.

I read the ft for the factual details only.

I always disregard the associated opinions and make my own decisions.

[spob] 28/11/2012 00:02

the ft are saying the share price rise after these results was overdone

i disagree though


good results as expected

been waiting to buy in here on the cheap

doesn't look like i will get a chance now

[swiftascent] 26/11/2012 21:33

What does that last sentence mean? Considering... Over exuberant.

[spob] 26/11/2012 16:37

Cranswick resists pork pricing squeeze


By Louise Lucas

Financial Times

26 November 2012


Cranswick, the producer of sausages and pies, has succeeded in passing on pork price inflation to retailers, illustrating how power is gradually shifting towards suppliers as the economic downturn closes more factories.

Pork prices have risen some 60 per cent over the past four years. Recent US droughts have pushed feedstock higher and the price of a kilo of pig meat is now a record 160p. That has resulted in farmers worldwide culling their herds, and warnings to supermarkets that failure to pay up could result in severely depleted supplies of pork, bacon and sausages.

However, Cranswick, a link in the chain between farmers and supermarkets, said it had managed to recover some of the inflation from customers. Unveiling a year-on-year 5 per cent rise in underlying revenues to £418.6m in the six months to end-September, Martin Davey, chairman, said sales were not affected by the higher price stickers.

"Over the past few years, and even the last 12 weeks, spending on pig meat products continues to rise," he added.

Group operating profit increased 17 per cent to £22.8m, boosted by the acquisition in June of Kingston Foods, which manufactures and distributes cooked meats.

The Hull-based company further gained from selling 2m kilos of "fifth quarter" parts – essentially offal – following the recent approval to ship direct to China. This, however, weighed on its working capital. Stocking up hearts and livers ready to ship was among the factors driving a £6.9m increase in working capital and near 50 per cent increase in inventories.

Analysts applauded the results, which were broadly in line with expectations, and the shares were up almost 10.5 per cent at 816.5p in afternoon trading. This is despite the fact that Cranswick warned that its second half, normally the stronger part of the year, would be closer to the first half.

Darren Shirley, analyst at Shore Capital, house broker, said the company entered the period facing "something of a perfect storm", with rising input costs, new welfare requirements in the EU that come into effect on January 1, and an increase in pig prices. But the brokerage was maintaining its full-year forecasts on the back of management's ability to cope with this, he said.

Diluted earnings per share rose from 29.2p to 35.7p and the dividend increases 4.4 per cent to 9.4p.

● FT Comment
It should be the perfect business model. Chop up an 80kg pig, pack up the lean meat, process the less aesthetically pleasing parts (sausage sales were up a whopping 15 per cent) and ship the remains to China, where organs go down a treat. But this is a thin margin business at 5.5 per cent and thus vulnerable to further squeezes. Pork prices are likely to rise again alongside new European welfare measures and the impact from culled herds will feed through. Ahead of the results, Cranswick was trading on a forward EV/ebitda multiple of around 6 times, comfortably below its peers. Consider capital investment, shrinking free cash flow and the still-distressed consumer, and the subsequent narrowing of that gap looks over-exuberant.

[hugenoise] 26/11/2012 11:04

£9..i've got 30,000 of them.

[danny murphy] 26/11/2012 10:38

805p after half yearly results. Looks good to me, what do you think hugenoise!!
My previous target price of 865p by mid Jan looks very do-able!!

[countryman5] 18/11/2012 21:18

Wheat prices easing a little but a lot of pain ahead for pig industry.

[countryman5] 07/11/2012 15:49

Company statement today expresses concern about future pig meat supplies.