Premier Foods beat market expectations for the 2023/24 financial year supported by robust demand, the company reported on Thursday.
Demand was largely driven by customers’ preference for quick meals such as mince pies and gravies, as well as increased marketing spend.
The company – which makes an array of foods from plain flour to cooking sauces and quick meals – expects a return to volume-driven revenue growth this year.
The change is expected as consumers opt for eating at home rather than going out to restaurants as inflationary pressures persist.
The chief executive of Premier Foods Alex Whitehouse said, “We have a strong set of plans for this year, across each of our strategic pillars and with our return to volume growth, we are on track to deliver on full-year expectations.”
Premier foods benefitted from lower promotional price points in the third quarter.
The move helped volumes return to growth in the fourth quarter.
The maker of Mr Kipling cakes posted £157.9 million as its adjusted profit before tax for the year ending 30 March.
This is a 15.1% jump compared to the same period the previous year.
Analysts, on average, originally forecast annual profit to land at approximately £153 million, according to a company-compiled consensus.
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