The manufacturer and distribution of bakery ingredients and products saw turnover increase 21.2% to £188.6m, but operating profit dropped from £7m in 2011 to £4.9m last year.
In its full year accounts, just posted at Companies House, the directors stated they expect full-year results in 2013 to show the impact of continuing increases in raw material costs. It said plans were in place to recover as much as possible of these increases through “changes to selling prices, products, or a combinations of both”.
The firm added that as of 6 June 2013, the assets and liabilities of its subsidiary Kate’s Cakes Group, are expected to be hived up into CSM (United Kingdom). “From 6 June 2013, the profit and loss account will include the trading results of Kate’s Cakes Group Limited, the effects of which cannot be estimated at this time,” said the firm.
The UK business forms part of CSM’s divested Bakery Supplies businesses (European and North American), which was sold to private equity firm firm Rhône Capital LLC for €1.05bn (£900m).
The deal, announced in March this year, will see Rhône Capital acquire the CSM brand name. The divestment of the Bakery Supplies business is due to be completed by early Q3 2013.
As a result, CSM nv announced yesterday (18 June) that its new company name will be Corbion.