UK's Premier Foods adjusted pretax profit beats expectations, raises dividend

Premier Foods

14/05/2026 07:08

Corrects dividend in Key Details table to GBP 0.034 from GBP 0.04

Overview

UK food producer's preliminary FY25/26 headline revenue rose 2.5%, driven by branded products

Adjusted pretax profit for the year beat analyst expectations, rising 8.5%

Company raised final dividend by 20% and plans to introduce an interim dividend

Outlook

Premier Foods expects further profitable branded revenue growth in FY26/27

Company plans capital investment of £55-60 mln in FY26/27

Premier Foods intends to introduce an interim dividend in FY26/27

Result Drivers

BRANDED REVENUE GROWTH - Co said headline branded revenue rose 3.4%, with Sweet Treats up 7.3% and Grocery up 2.3%, driven by product innovation and market share gains

PRODUCT INNOVATION - New products such as Mr Kipling cake bites tubs, OXO bone broth and Angel Delight bubble jelly contributed to growth, particularly in Sweet Treats

ACQUIRED BRANDS - Acquisitions including The Spice Tailor, FUEL10K and Merchant Gourmet all delivered double-digit revenue growth, supporting overall results

Company press release: ID:nRSN2362Ea

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
FY Headline Revenue
GBP 1.18 bln
FY Adjusted Pretax Profit
Beat
GBP 183.60 mln
GBP 175.54 mln (8 Analysts)
FY Dividend
GBP 0.034
FY Headline Trading Profit
GBP 200.40 mln
FY Net Debt
GBP 95.20 mln
FY Pretax Profit
GBP 181.90 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the food processing peer group is "buy"

Wall Street's median 12-month price target for Premier Foods PLC is GBp235.00, about 19.1% above its May 13 closing price of GBp197.30

The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 12 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

 (This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)