Dairy Crest Group plc (DCG.L), in its interim management statement for the nine-month period, said the overall trading remains in line with its expectations, and it remains on track to exceed its annual cost savings target by delivering savings of around 23 million pounds this year.
The company added that its four key brands namely Cathedral City, Country Life, Clover and FRijj continue to grow, with sales volumes up by 4% and sales values by 5% over the nine-month period. This represents a slowdown from the double digit increases seen in the first six months of the year, as anticipated.
From April 1, 2013, Dairy Crest expects to launch a new formula-based pricing structure for some of its milk purchases, linking future milk prices to on-farm costs and market returns.
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