Inter Link Foods’ shares drop

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Manufacturing News, Source : TheManufacturer.com
Published : 22 Mar 2007 10:32
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Inter Link Foods sees shares drop by 60 per cent after announcing its second profit warning in five weeks.

The Soreen Fruit Loaf manufacturer recently revised profit forecasts after admitting that its move to a new distribution site would mean missing original forecasts. However, despite these predicted figures, Inter Link Foods has been forced to admit that it will not even meet the revised predictions.

Higher than expected costs appear to be the largest contributing factor, with figures showing a loss of between £6 million and £7 million before tax for the year to 30 April.

A spokesperson reported that the company was currently seeking to increase its borrowings - a compulsory step as concerns mount for its current £60 million debt.

Chief executive Chris Thompson said: “I have every confidence that sufficient facility will be put into place for the year to April. Our banks have been very supportive and will continue to be, so long as we demonstrate a good and continuous recovery.”