Premier Foods reports strong festive sales

UK-based food manufacturer Premier Foods plc has reported a strong performance in the final three months of 2022 and said it is on course to hit targets for the full year.

Group sales for the company’s third quarter were up 12% year-on-year, with branded sales growing 8.8%.

Its grocery sector showed the fastest growth with sales up 17.4%. Pricing contributed a significant proportion of revenue growth in the quarter while demand was said to be “particularly buoyant” in the run-up to the key festive period.

Premier Foods also announced, however, that it is planning to close its loss-making Knighton manufacturing site by the middle of 2023, affecting 300 employees and costing around £10m.

Looking ahead, the company said that higher costs for the business are being offset through a combination of cost savings and price increases.

“With strong momentum entering the fourth quarter of the year, and more brand investment and new product launches to come, the Group remains well on track to deliver on expectations for this financial year,” Premier Foods concluded.

Premier Foods’ brands include Batchelor’s, Mr Kipling, Ambrosia, OXO, Bisto, Sharwood’s and Homepride.