Premier Foods annual sales rise on international growth (updated)
15/05/2018 07:59
(Adds details and CEO comment)
May 15 (Reuters) - Britain's Premier Foods PFD.L on
Tuesday reported a 3.6 percent rise in full-year sales helped by
its international business and partnerships with Nissin and
Mondelez.
"After a slower start in the first quarter, performance
accelerated during the year as planned, with revenue in the
second half up 5.3 percent and 7.0 percent higher in quarter
four," Chief Executive Gavin Darby said.
The company said food sector sales demonstrated stronger
trends through the year, particularly in the second half, when
compared with non-food sales.
The maker of Mr Kipling cakes and Oxo stock cubes benefited
from a 25 percent jump in international sales boosted by
partnerships with noodle-maker Nissin 2897.T and candy maker
Mondelez MDLZ.O .
"Strategic partnerships with Nissin and Mondelez
International delivered 55 percent of the revenue growth," the
company said.
The company also said it expects its international business
to continue to deliver strong double-digit growth over the
medium term.
Full-year group underlying sales for the year ended March 31
was 819.2 million pounds ($1.11 billion), up from 790.4 million,
the company said.
Adjusted profit before tax rose about 6 percent to 78.6
million pounds.
Premier Foods said net debt was 496.4 million pounds, down
26.8 million pounds from last year. urn:newsml:reuters.com:*:nRSO0445Oa
The company has a March 2020 target to lower its net debt o
under three times EBITDA.
Premier has struggled under a heavy debt burden and faced
pressure from investors after it rejected a twice-improved
takeover bid from U.S. rival McCormick Foods MCK.N in 2016.
($1 = 0.7383 pounds)
(Reporting by Sangameswaran S; editing by Jason Neely)
((Sangameswaran.S@thomsonreuters.com; within U.S.+1 646 223
8780; outside U.S. +91 80 6749 3544; Reuters Messaging:
Sangameswaran.S.thomsonreuters.com@reuters.net))