An Angus food producer is celebrating after securing a new £800,000 supply contract with supermarket group Asda.
The deal, which will see McIntosh of Strathmore’s cheese pots distributed in all of Asda’s Scottish stores and in a selection of outlets in England and Wales, follows a successful period for the parent business in which pre-tax profits for the year to June 30 pushed past the £1 million mark from £843,000 previously.
Filings at Companies House show revenues at Strathmore Foods Limited, which is based at Carseview Road in Forfar, increased by more than £460,000 in the period to a total of £12.54m.
The family-run company was first established in 1973 and its traditional macaroni range is among the best-selling ready meal in Scotland with more than 70,000 produced each week.
The addition of the new cheese pot range is set to increase total annual output of its macaroni dishes to more than 4.4m meals.
“This is a very exciting opportunity which will bring our products to a much wider audience, enabling more people to enjoy a taste of Scotland,” sales manager Neil Macrae said.
Brian O’Shea, Asda’s regional buying manager for Scotland, said the supermarket was delighted to be offering the new range.
He said: “Feedback from everyone who has tried them has been incredibly positive so we look forward to working with the business closely and hopefully growing our relationship in the future.”
In the strategic report to Strathmore Food’s 2014 accounts, company secretary Dain Egan said the directors were pleased with the firm’s operating performance.
During the year, the firm employed an average of 142 staff, 119 of which were involved in meal production.
“The excellent trading results are attributable both to the strength of sales of chilled foods, particularly under the McIntosh of Dyce brand, and to improved performance in branded frozen products, “ Mr Egan said.
“The company operates in a competitive market, where volatility in the retail pricing strategies pursued by our major retail customers can have significant impact on sales, and where commodity prices can exert considerable pressures on trading performance. However, relative stability in commodity prices and the active management of key performance cost sectors have resulted in the maintenance of the gross profit percentage at 31.9%.”