A fast-growing cooking oil filtration and fryer services firm has indicated it could use acquisition as a means to boost its grease management offering following its recent entrance to the sector.
Filta, which has just completed its first full year as an AIM-listed outfit, services more than 5,000 restaurants and food establishments every week and has recycled 250 million litres of oil since its formation. In the UK it counts Harry Ramsden’s, Tesco, McDonald’s, Jamie’s Italian and KFC among its customer base.
At the end of last year it took a “small but important step” into the drain maintenance and grease management space after snapping up Grease Management Limited, integrating the business into its existing FiltaDrain operation to create FiltaGMG.
“FiltaGMG augments our existing drain services and enables us to offer a broader range of drain maintenance options to customers,” explained Tim Worlledge, who said the company anticipates an acceleration in revenue and profitability this year as it builds its client base.
Filta initially started supplying and servicing auto-dosing drip systems to keep drains clear for commercial kitchens after noticing developing demand, driven by both legislation and commercial efficiency benefits, for the provision of preventative drain maintenance to commercial kitchens.
But it quickly spotted there was a far greater opportunity if it could broaden its services to include the maintenance of grease recovery units, prompting it to snap up Grease Management Limited.
Revenues from FiltaGMG in the four months since the acquisition of Grease Management Limited reached £400,000.
“The integration was relatively straightforward, and the results have fully justified our enthusiasm for expansion into this market. It is our aim to grow this activity through organic growth and further in-fill acquisitions,” said CEO Jason Sayers.
The push into higher margin drain management activities has seen the company dispose its refrigeration and air conditioning installation and maintenance business.
Overall revenues for the company, which also trades in North America and Germany, grew 34% year-on-year to £13.5m in 2017, while adjusted EBITDA reached £2.2m.