Quarterly Insights: Food Manufacturing and Distribution
Posted 01 Nov 16
PKF Melbourne Corporate Finance are pleased to present the Food Manufacturing & Distribution Insights for the September 2016 quarter, including a review of key mergers and acquisitions activity and observed trends impacting growth in the industry.
Our quarterly release serves as a preface to the insights and observations that we can provide to drive business value and achieve a successful transaction.
Consumer Staples index
The Consumer Staples index comprises companies involved in the manufacturing and distribution of food and beverages. The index provides a broad measure of the performance of the Australian food manufacturing and distribution industries.
The Consumer Staples index experienced growth of 2.64% from January 2016 to September 2016 and 10.61% for the September 2016 quarter. The index outperformed the ASX for the September 2016 quarter.
Insights into growth strategies
PKF Melbourne Corporate Finance have observed the top 5 growth strategy trends from public companies operated in the Consumer Staples industry.
1. Expansion into Asian emerging markets to support the growing demand from these markets and supporting the sustainability of growth into China
2. Focus on operating efficiencies and controlling costs to improve profits
3. Improvement and expansion of supply chains
4. Focus on growing online presence via e-commerce market and investment into marketing initiatives
5. Commitment to new product development and innovation and R&D initiatives
Key deal activity in Q3 September 2016
PKF Melbourne Corporate Finance have observed the key food manufacturing and distribution transactions which closed during the September 2016 quarter.
Source: ASX announcements, Capital IQ, Mergermarket