DURBAN – Tiger Brands continued to feel the effects of the listeriosis outbreak in the year to the end of September after the food producer suffered an impairment charge in its value-added meat products (Vamp), following a slower-than-anticipated recovery in the division.
The group said on Friday that the impairment charge was driven by a R96 million write-down in respect of the Vamp’s property, plant and equipment and a R212m goodwill impairment related to Davita, reflecting the challenging outlook in export markets.
As a result, the group’s operating income before impairments and abnormal items declined by 20 percent to R2.6 billion.
“Excluding Vamp, operating income before impairments and abnormal items decreased by 11 percent to R3.2bn,” the group said.
Looking ahead the group was considering disposing of its value-added meat products.