Lotus Bakeries intensifies brand name efforts

Lotus Bakeries NV, Lembeke, announced a 7.5% increase in REBIT for 2005 up to € 15.5 m. Net profit grew 14.4% up to € 9.6m. Total sales dip ped 0.5% down to € 152.3 m. This was said to be due to a reduction in private label production. Sales of the Lotus brand in contrast grew 3%.The increase in profit was reported to be a result of further improvements in productivity and logistics, as well as of favourable developments in the costs of packaging and ingredients / raw materials. This year Lotus is anticipating a further decline in private label sales and continuing growth in Lotus brand sales; overall sales will thus remain more or less unchanged. Significant investment is scheduled for this year; commercial organisation is being expanded and a new organisation is to be established in the UK.Considerable sums will be invested in marketing and communication in order to further drive Lotus brand sales. Lotus expects prices for energy, packaging and raw materials to rise during 2006. For this reason there might be a slide in profits.Since February 1st 2006 Robin van de Bruinhorst has been new brand manager at Lotus Bakeries Nederland BV.He joined the company from Remia, where he was product manager.