Somewhat disappointing results from Hilton. The Foppen business(maybe Floppen is more apt) is struggling again.

Issues at the high margin fish division(Foppen). Contaminated fish at the Greek production facility so now they need to airlift fish from the Netherlands to the US. Cost so far of £2m with additional £5m until the issue is resolved. Higher CAPEX costs(£20m extra) to produce the Canadian facility for Walmart + consumer weakness going forward in the core business despite decent Q2 results. So a 5-10% drop could easily be justified. 20% is a bit steep(almost £140m of mcap), but clearly the Foppen issue brings back bad memories from 2022. Sill a decent business but it will take a few quarters to allay the investor concerns.

In terms of the inventory, it seems that HFG implied on the analyst call that it might be beef to allow and manage the supply to customers better(due to volatility in supplies). They indicated that this might be a long term thing and they might need to buy more freezers(apparently all of this is coordinated with the customers).

Might be a good entry point for people who aren’t invested.