Accounts filed by HJ Heinz Ireland, the producer of frozen ready-meals, show a substantial drop in turnover since its acquisition last year, falling by over €47 million.

There have been significant changes to structures and the latest results filed to the end of December, 2013 represent just an eight-month period. Last June it was acquired by HJ Heinz Holding Corporation.

Accounts covering the period from the end of April 2013 to the end of last December show turnover falling from €113.2 million to €66 million. Profits before tax reduced from €14.2 million to €3.6 million.

Historically, the principal activity of the company was producing frozen ready-meals under the Weight Watchers brand for retail in Ireland and the UK. Now, following the restructuring of the Heinz European business model, all Irish-produced goods are sold directly to a supply chain hub in the Netherlands at cost price plus an agreed margin.

Sales and marketing of frozen meals in the UK was brought to an end and both the Ross and Alveston Kitchen trademarks were sold to HJ Heinz Frozen UK.

Partly because of the new trading agreement with the supply chain hub the turnover saw a decrease of 48 per cent (or 21 per cent when adjusted for the shorter accounting period).

“However, turnover is also impacted by the continuing decline in the frozen ready-meal category and the impact of the meat integrity issues that received prominent media coverage in the first half of the current period,” it said.

It also said the “increasing impact” of discount retail in Ireland had impacted on sales volumes, although it had managed to grow its market share.

“The directors expect the tough operating conditions in the frozen category to continue during 2015. The business will continue to focus on reducing costs in order to maintain margin.”