UK’s Hilton Food flags higher U.S. smoked salmon write-offs
Shares in Hilton Food (HFG.L) dropped by as much as 7.39% after the company issued its update on rising costs.
USA – Hilton Food highlighted ongoing challenges at its seafood arm Foppen, which has had to pivot from Greek supplies to alternatives sourced from the Netherlands.
The company said the U.S. restrictions on smoked salmon imports are likely to continue through at least the first half of 2026.
Inflationary pressures in the beef and white fish segments have added to operational strains, leading the group to maintain a cautious outlook for 2026.
Hilton Food said its strategic review, prompted by these challenges, is nearing completion and aims to clarify the company’s focus on core meat operations while identifying long-term value opportunities.
Executive Chair Mark Allen stated the review will guide the group’s approach to sustainable operations and business priorities.
The company forecast adjusted profit before tax for the current year to be between US$83 million and US$90 million, reflecting the impact of the U.S. restrictions and rising costs in other divisions.
These developments follow a broader organisational restructuring introduced in January, which divided Hilton Food’s global operations into Eastern and Western regions, each managed by a newly appointed chief operating officer.
The restructuring came shortly after a series of executive departures, including CEO Steve Murrells in November, who left after less than two years in the role, following the exit of former CEO Philip Heffer around two years earlier.
Chairman Mark Allen has taken on executive chair duties on an interim basis while the board considers long-term leadership options.
In the Western region, Samy Zekhout resigned from his non-executive director role to become chief operating officer, overseeing operations in the UK, Ireland, the Netherlands, Denmark, Sweden, and Portugal, with plans to include Canada as expansion progresses.
Zekhout previously served as chief financial officer and deputy CEO at Nomad Foods from 2018 to 2024, bringing experience in international food operations to his new role at Hilton Food.
The company’s operational and leadership changes signal a period of adjustment as Hilton Food navigates supply disruptions, inflationary costs, and ongoing management transitions across its global business.
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