• Struggling pickles and preserves company Spring Gully sees dramatic sales spike.
    Struggling pickles and preserves company Spring Gully sees dramatic sales spike.
Close×

South Australian pickles and preserves company Spring Gully has experienced a massive turnaround in sales its creditors have been told at a meeting in Adelaide.

Support from shoppers had boosted Spring Gully's turnover to $1.5 million in the previous week, in a turnaround that the company's administrator has dubbed “extraordinary”.

The administrator Austin Taylor told creditors he was hopeful for the company's immediate prospects, according to ABC News.

“We think that it is sustainable and we're working with the directors and their advisers putting ... a proposal together for the creditors," he said.

"I haven't seen a turnaround quite as dramatic as this and I've been doing this for 30 years. It's quite extraordinary.”

There is to be a second meeting next month, where a formal recommendation will be put forward on how to proceed with the business.

The food processing business recently went into voluntary administration debts of more than $3 million.

After the company's financial struggles became public, Spring Gully managing director Kevin Webb made a heartfelt plea via the media for South Australians to support his company, a call that seems to have been successful.

Coles awarded a new national contract for its Coles brand pickled onions to the company and Spring Gully told ABC News that weekly orders had trebled with employees working extra shifts to help meet demand.

Packaging News

Amcor’s first half results for the current financial year prompted the company to improve the outlook for the 2020 financial year. In total, Amcor reported an adjusted EBIT of $699m, up 4.4 per cent in constant currency terms.

Packaging and display business Orora is going through some turbulence, according to the company’s half-year results, with business lagging in North America.

Whoever ends up becoming the new owner of the OI Glass business in Australia & New Zealand, will face tough demand conditions over the next two to three years, writes industry analyst Paul Allen, in this exclusive report for PKN.