Dean’s of Huntly posts loss amid cost pressures – Daily Business

Shortbread maker Dean’s of Huntly reported another annual loss despite boosting turnover by almost £2 million.

The company blamed higher raw material and operating costs for the loss before tax o f£345.430 in the year to the end of June last year. However, this was lower than the loss of £447,921 in the previous 12 months. Revenue rose 23% to £10.2m from £8.3m.

Wages and other employee costs rose to £3.5m from £2.9m, even though the payroll was slightly lower at 143 against 149.

Dividends of £75,000 were paid, against none in the previous year.

The company said it was developing new markets, building its own brand and private label opportunities.

It warned of the continuing impact of high energy costs and said the rise in national insurance contributions will put “further pressure on margins”.

In February last year it acquired rival shortbread manufacturer Duncan’s of Deeside in a move that will increase its market share in the premium sector.