Campofrio Alimentación, the Spanish meat group, has reported satisfactory results for 2002, a year marked by the reorganisation of the company's pan-European business and the integration of new acquisitions Omsa and Navidul.

Consolidated profits at the group were €22.4 million in 2002, slightly lower than the €25.7 million registered in 2001 as a result of declining demand for meat products during the final quarter of the year. Profits from both years were boosted by one -off gains, but the 2002 figures were €24.7 million lower than those for the year before.

Turnover for the year was €1.43 billion, down from €1.51 billion a year earlier, once again due to the decline in demand in the final quarter.

Despite the decline in sales and profits, there was much cause for optimism, the company said, with its international operations in particular performing well. The East European business lifted its sales to €282 million while operating profits were €29.6 million.

Despite the negative impact of the dollar/euro exchange rate, operating profits at CampoMos in Russia were €21.7 million, while operating profits at the Polish unit Morliny reached €6 million, up 30.8 per cent as a result of heavy investment by Campofrio in production, logistics and marketing

The Romanian unit, Tabco, also showed a strong rise in operating profits (95.3 per cent) to €1.9 million.

The company also said that it had reduced its debts during 2002 by some 50 per cent to €192.7 million, and is now in a much stronger financial position - a hint that it will continue to look for expansion opportunities over the next few years.