Nortura reported an increase in sales and operating profit for 2015 despite what the Norwegian meat group termed “challenging market conditions”.
The company said sales rose to NOK22.2bn (US$2.59bn), up 1% from 2014. Nortura had been hit by declining sales in the first half but said revenue picked up in the back half of the year.
Nortura was able to grow its profits at a faster pace thanks to improved margins. EBITDA margin increased by 0.15% and the company said EBITDA gained 4.4% rising to NOK997m. Pre-tax profit totalled NOK359m, up 22.9%.
The company has embarked on a process of restructuring its operations to improve profitability. Initiatives have included reducing the number of poultry suppliers it works with to address issues of oversupply and integrating its red and white meat production.
The company noted: “2015 has been a challenging year for Norwegian egg and meat producers… Through tough priorities and responsible economic management, Nortura still delivers an improved result.”