Only three months into the job, it was his first opportunity to address a local audience since the company listed on the stock exchange.
It was also his opportunity to lay to rest any lingering doubts about the new company’s commitment to the Goulburn Valley, telling the business crowd at the Committee for Greater Shepparton dinner that he wanted to see the Shepparton plant grow.
In an up-beat presentation, Mr Iervasi said he would be concentrating on putting the consumer first.
Mr Iervasi said he did not take for granted SPC’s iconic position in the city of Shepparton.
“Every time I come to Shepparton and introduce myself to someone, I notice that just about everyone has had a family member who has worked at the Shepparton site at some stage,” he said.
“I do not take for granted the affinity that the community has with SPC and how important this manufacturing facility is to the community we are operating in.
“SPC continues to be the cornerstone of our manufacturing footprint, and we will continue to invest in Shepparton as we grow our manufacturing capability.”
While he said there were traditional lines manufactured, they were now focusing on what the consumer was asking for.
“We need our Shepparton site to flourish to continue to manufacture that.”
Mr Iervasi also acknowledged that the Original Juice company facility in Mill Park was limited in its production capacity and there was an opportunity to expand the company’s juicing operations to Shepparton.
He outlined how the four divisions within the new SPC would work together.
“The cornerstones of canned baked beans, spaghetti, peaches and tomatoes are very different to the SPC of tomorrow.”
He pointed to the new divisions that had been created with the acquisition of Nature One Dairy and the Original Juice company, and the expansion into ingredient supply for other manufacturers.
“Each of these four business divisions will play a critical role in our success.”
He also answered the question as to why SPC had embraced a dairy division.
Nature One Dairy manufactures functional milk powders tailored to various age ranges using milk powder supplied by Fonterra.
Mr Iervesi said 95 per cent of Nature One Dairies sales are based around Asia, and they have a direct selling arm in Asia.
“I have a platform to grow the brand on a global scale,” he said.
“The international market is prepared to pay a premium for Australian made product more so than the Australian market.”
He also promised more communications from the merged company, and foreshadowed a financial update later this month.
SPC Global’s share price has drifted lower since the listing, kicking off at $1.31, but hovering about 70¢ in February.
Commenting on the share price in a written statement, Mr Iervasi said he wanted to provide some context for this.
“The fundamentals of our business remain strong, and our future strategic initiatives, including the recent merger and priority offer, position us well for long-term growth,” he said.
“While we acknowledge the recent share price movement, it’s important to highlight short-term market dynamics, rather than any underlying shift in our operational or financial performance.
“Since our last communication, we’ve observed continued selling pressure from one non-founding shareholder.
“While this is likely to have influenced the share price in the short term, we remain focused on executing our growth strategy, driving operational efficiencies, and enhancing long-term shareholder value.”
Speaking at the Shepparton business dinner on February 11, he pointed to a major shift under his leadership.
“The major shift that you will see under my leadership ... is recognising that we are here to provide quality, good food, that is demanded by consumers.
“Our job is to identify what consumers want today, what consumers want tomorrow, and ensure that we are constantly evolving our products to meet those habits.”
Mr Iervasi also announced that the company’s dairy division, Nature One Dairy, was pushing into the North American market through international marketer, Amazon.
Asked about the company’s position on the anti-dumping complaint against imported Italian tomatoes, Mr Iervasi said the company respected competition, but wanted to compete on a level playing field.
He noted this season that his staff were positive about the quality and volumes of tomatoes that were being produced and arriving at the Shepparton factory.
12°C