Wiseman Dairies report reduced profits after intense competition.

Wiseman Dairies has reported a fall in pre-tax profits which they have attributed to a combination of intense competition and higher costs.

Pre-tax profits in the 6 month period leading up to 2nd October was 3.5% lower than last year despite turnover being up by 6.8% at £452.8m and an 8% increase in sales, mainly to Tesco and Co-op.  Wiseman say that margins have been subjected to considerable pressure during the period, with a number of major contracts renegotiated and selling prices reduced.

The pressure, combined with an increase in the amount paid for raw milk also offest higher bulk cream prices over the six month period.

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