SNF gears up for further expansion
Australian food manufacturer as part of its strategy to expand its
range of products, according to IndustrySearch.com.
Australia's So Natural Foods (SNF) is close to acquiring another Australian food manufacturer as part of its strategy to expand its range of products, according to IndustrySearch.com.
The news came as Australia's largest producer of whole bean soymilk posted a full year net loss of A$1.165 million (€0.64m) for 2001/02, compared to the previous year's net loss of $234,000.
SNF managing director Geoff Babidge revealed the company had concluded an in-principle agreement to acquire a food manufacturer with the new strategy to develop further SNF's range of nutritious and functional foods.
The acquisition was expected to be earnings per share positive from completion.
"It will provide both manufacturing synergy and potential for further growth," Babidge said.
He said the worldwide trend in food consumption towards more healthy nutritional foods provided a significant growth opportunity.
"We have established ourselves as a credible player in the nutritional foods market and potentially in the emerging functional foods market in Australia," Babidge said.
He said management considered the company to be uniquely placed to further evolve in both the natural and functional food areas.
"Such products include both natural foods such as soy products, cereals and dairy and fortified foods or ingredient providing specific health benefits," Babidge said.
The overall soy beverage market had been flat for flat for 2001/02 but was still a significant improvement on the previous year's decline, he said.
SNF delivered an operating profit before specific one-off items and before tax of A$315,000 off revenue of $24.18 million.
The one-off items included the write-down of assets no longer used in the business and restructuring costs.
