By Jon Robinson
Turnover jumped by more than £100m at Sykes Seafood during its latest financial year while its headcount also spiked.
The company, which is headquartered in Warrington, Cheshire, has reported a turnover of £251.5m for the 12 months to April 1, 2023, up from £150m.
Newly-filed documents with Companies House also show that the average number of people employed by Sykes Seafood increased from 269 to 363 during the year.
However Sykes Seafood added that “inflationary pressures and increased interest rates” resulted in its pre-tax profits falling from £5m to £1.4m.
In January 2023, Sykes Seafood acquired The Big Prawn Co in a pre-pack deal out of administration in a move that saved 120 jobs. However, towards the end of the year, the group announced plans to close its Norfolk factory.
In April last year, Sykes Seafood opened its £35m distribution centre and head office in Warrington.
Inflation and interest rates hit profits
A statement signed off by the board said: “The company has grown significantly in the year, both organically and via acquisition.
“The year benefits from the full-year effect of the Ruskim Seafood acquisition in October 2021 and the acquisition of The Big Prawn Co in January 2023.
“The operations of the acquired entities have been successful integrate into the Sykes business post-year end and our distribution network consolidated into our new purpose built, state-of-the-art UK distribution hub in Warrington.
“Underlying EBITDA has increased 42%, however, inflationary pressures and increased interest rates have lowered reported profit before taxation.
“The company continues to monitor and carefully navigate the volatility in the global economic and political environment and all factors that could impact the company in order to take prompt mitigating actions if necessary.”
‘Significant growth and profitability’
On its future outlook, Sykes Seafood added: “The directors aim to maintain the strategy and policies which have resulted in the company and wider group’s growth and profitability in recent years.
“The directors believe that the company is well placed in terms of strategic and market position to maximise its ability to generate sales and satisfy customer demand.
“Consolidating operations into the new state-of-the-art distribution centre in Warrington positions the company for significant growth and profitability.”
