Wiseman beats forecasts

In a trading update yesterday (30 March), the company said units sold had been running ahead of expectations throughout the year and overall milk sales volumes are up a record 11% year-on-year. Positive results have come at a time when rising oil costs have continued to put pressure on the milk producer throughout the year and the company continues to be cautious about the impact of the announced 1p duty increase on diesel from April 1 as well as the upward movement in hydro polyethylene used to make plastic cartons. Profits have benefited from significant and sustained capital investment in advanced dairy and distribution capacity as well as gains from the stabilisation in the value of bulk cream in the third quarter 2009. Confident for the coming year Group finance Director Billy Keane says, "Looking forward to next year, we are in good shape with volumes growing, a sound balance sheet, low gearing and state-of-the-art facilities." The planned final phase of capital expenditure at its new Bridgwater, Somerset facility, to take capacity to 500 million litres, is on track for completion by October 2010 at a cost of £10 million.