Company Snapshot: Marlbank Ltd
Meat company has beefed up dividends
Marlbank is the parent company of Hilton Meats (International) and one of a small group of successful red meat processors and wholesalers here.
Marlbank is a stand-alone company which, through common directors, is deemed to be related to others including Hilton Meats (Retail).
Hilton Meats (Retail) is a subsidiary in the separate group, Hilton Food Group, which is headquartered in Cambridgeshire, although it continues to have family connections with Northern Ireland. Marlbank operates as a wholesaler of processed meat. This company enjoys a large annual turnover, exceeding £100m, but it is not the direct owner of a large meat processing plant.
A sizeable proportion of the turnover from Marlbank subsidiary, Hilton Meats (International), is sold to the related company, Hilton Meats (Retail).
Marlbank group sources a significant part of its turnover, valued at £22m in 2010, from Hilton Meats (Cookstown) in which it holds 50% of the issued share capital.
As a joint venture, Hilton Meats (Cookstown) makes a shared contribution to the pre-tax profit of this group.
Hilton Meats (Cookstown) is also a related company to Foyle Foods (which owns Donegal Meat Processors, Foyle Meats and Omagh Meats) from which it buys part of its meat for processing.
Marlbank, as a trading wholesaler, operates with a staff of 12. The biggest items on its balance sheet reflect the necessary balance of working capital to underpin the financial transactions.
Each year the company usually pays a dividend to its shareholders.
In 2010, the dividends paid, at £3.6m, recovered from a lower amount in 2009. This payment reduced the balance sheet value of shareholders' funds to £1.8m.