Tulip problems lower Danish Crown profit

Danish Crown made less profit last year than the year before. The eyes are mainly focused on the British sister company Tulip UK. This company posted disappointing results.

Danish Crown made a profit of €2017 million for fiscal year 2018/182, which is €20 million less than last year. According to the Danish company, this is mainly due to the disappointing results of its British sister company TulipUK, which suffered a loss of €35 million. That is €4 million more than last year.

Fired employees
At Tulip UK, 2 employees have been laid off in the past 150 months. The company has also indicated that it will take further measures. As a result of the settlements, Tulip UK expects to reduce costs for the 2018/2019 fiscal year by more than €27 million.

On the other hand, Tulip Denmark, also a sister company of Danish Crown, is doing significantly better. With a turnover increase of 29%, it sets a good example for colleagues in the United Kingdom.

Declining sales
Danish Crown's total revenue decreased by €200 million, which was due to the drop in pig prices came. Due to the disappointing results, Danish Crown has decided to postpone the planned strategy change by 2 years.

However, gross profit increased by €20 million in the past financial year (to €1,1 billion). The company has also acquired 3 more meat companies, including the Dutch Bacon Specialist Zandbergen.

Tim Roetman

Tim Roetman has been working as a junior editor at livestock farming since November 2018 Boerenbusiness† He mainly writes about (price) developments in the pig and dairy market.

t.roetman@boerenbusiness. Nl

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