JOHANNESBURG, Aug 28 (Reuters) - South African poultry producer RCL Foods’ reported a 50 percent jump in full-year profits on Tuesday, saying the restructure of its chicken business and growth in its grocery unit helped it improve its performance.
At RCL’s chicken unit, earnings before interest, tax, amortisation and depreciation (EBITDA) rose to 466.8 million rand ($32 million) from 57.1 million rand in the year earlier period, boosted by the company’s revised business model, cost cutting and profits from the sale of dormant farms.
“Everything that we have put in place regarding our chicken business is paying dividends and we have weathered some significant storms,” RCL Foods’ Chief Financial Officer Rob Field told Reuters.
South Africa’s listeria outbreak in January last year, the world’s largest ever outbreak of the food-borne disease, killed more than 200 people and infected more than 1,000.
The health department recalled processed meat products known as “polony”, which RCL also produces, after the source of the outbreak was traced to a factory owned by Tiger Brands unit Enterprise Foods in March this year.