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2. AFE GROUP LIMITED

Middleton’s Steakhouse

Ali Group’s largest UK entity said supermarkets bought less catering equipment in 2018 after it reported a 2% reverse in turnover for its most recent full year.

AFE Group, which comprises Falcon, Williams Refrigeration and Mono Equipment, as well as two services organisations, saw turnover reach £121.2m for the year to 31 August 2018, compared with £123.6m the prior year.

The group said the decline was “primarily attributed” to reduced capital equipment spend from its UK supermarket client base during the year.

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Operating profit fell from £13.6m to £12.4m, with AFE bosses insisting they remain committed to a focus on continual improvement and lean activities to underpin its profit achievements.

They also claimed that the “rapidly evolving” market landscape, particularly in terms of food-to-go and home delivery, would serve it well in future.

“The emerging trends and innovation in dining experiences offer a continued opportunity for business development and growth prospects in the year ahead,” they stated.

Annual accounts often throw up interesting titbits of information, such as the payment of a £350,000 grant to Falcon by Scottish Enterprise over five equal instalments.

Grant income of £210,000 is included within AFE Group’s income statement after the Stirling-based cooking brand – which marks 200 years in business this year – successfully met targets around capital spend, safeguarding jobs and implementation costs in respect of new product introductions.

Nearly 71% of AFE Group’s turnover originated from the sale of goods, 2% less than the previous year to a £3m fall in equipment sales and higher services-based growth.Vital Statistics

Turnover: £121.22m (-2%)

Operating profit: £12.42m (-9%)

Employees: 1,233 (1,260)

Directors that served during the year: T Smith, V Rallo (resigned 05/18), M Anastasia (resigned 05/18)

Ownership: The company is a wholly owned subsidiary of Ali Holding s.r.l

Financial year end: 31 August 2018

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Tags : afe groupcatering equipmentFoodservice equipmentreportsState of the Nation
Andrew Seymour

The author Andrew Seymour

1 Comment

  1. Interesting to see that whilst operating income remained pretty much static, operating profit was subdued YoY with a return decrease of c3%. Would have been interesting to see if that was due to material cost, conversion inefficiencies, overhead increases or what.

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