Sweden-based ingredients giant AAK (AAK) has reported a record operating profit for the first half of the year totalling SEK568m (£48.6m) - a 17 per cent increase on the same period last year - as well as a 15 per cent jump in profit per kilo.
But underlying volumes dipped slightly as a result of low commodity volumes and weaker than expected growth in infant nutrition. The latter was caused by temporary market disruption in China where new regulations have come into force. Meanwhile, the crisis in Ukraine is having a "material impact" on the group's chocolate and confectionary fats division, but that made it all the more impressive that the business delivered a 29 per cent improvement in profit per kilo, 7 per cent volume growth and 39 per cent profit growth. Finally, AAK acquired two bakery fats businesses in Belgium and Colombia and has announced plans to build an edible oils factory in Brazil, due to come on stream in the second half of 2015.
