FDBusiness.com

Turnaround Strategy Starting to Deliver at Premier Foods

 Breaking News
  • 2 Sisters Food Group Sells Christmas Puddings Business to Valeo Foods 2 Sisters Food Group is selling its Matthew Walker Christmas puddings business to Valeo Foods Group, the fast-growing international ambient foods producer, for £67 million. The Matthew Walker business, based...
  • Carlsberg Gives Latest Green Fibre Bottle Update Carlsberg Group has given an update on its journey to create the world’s first ‘paper’ beer bottle made from sustainably-sourced wood fibres that is both 100% bio-based and fully recyclable....
  • Loma Launches New RUN-WET IQ4 Metal Detector Loma Systems, a leading manufacturer of high performance metal detectors, checkweighers and x-ray inspection systems for the global food and pharmaceutical industries, has introduced new RUN-WET® specification to its range...
  • Campari Group Expands Brands Portfolio Campari Group, the Italian and international drinks business, has acquired a controlling interest in Mexican super premium brands Ancho Reyes spicy liqueur and Montelobos mezcal. In 2018 the net sales...
  • Winners of the 2019 Global Bottled Water Awards The winners of the 2019 Global Bottled Water Awards were announced at an awards ceremony held at the iconic Burj Al Arab, during the 16th Global Bottled Water Congress in...

Turnaround Strategy Starting to Deliver at Premier Foods

Turnaround Strategy Starting to Deliver at Premier Foods
July 23
13:22 2013

UK convenience food group Premier Foods has increased underlying business trading profit by 50% to £47.4 million for the first half of 2013. Underlying business sales slipped 0.9% to £621.2million.

Underlying business excludes the results of previously announced business disposals, Milling sales and strategic contract withdrawals. The purpose is to reflect the underlying performance of the core business of the company, after undergoing a year of major restructuring in 2012.

Gavin Darby, chief executive of Premier Foods, comments: “A 50% increase in trading profit is a very encouraging result given the highly competitive environment. This shows that our turnaround strategy is delivering at the bottom line. We have now grown sales in our Grocery Power Brands for six consecutive quarters as we continue to build partnerships with our customers, deepen our understanding of consumers and invest more effectively in supporting our brands.”

Premier Foods has already delivered the promised £20 million of overhead cost savings for 2013 and continues to keep a tight control over costs. The restructuring of the problematic bread and milling business is ahead of plan as Premier Foods attemps to create a more sustainable platform for the business.

He continues: “The second half will see further plans to grow our Power Brands, in addition to a new £10 million of cost savings that we have now identified from our efforts to reduce complexity. As a result, we now expect full year trading profit to be around the top of market expectations.”

Gavin Darby elaborates: “Looking further forward, we will continue to drive profitable top-line growth by focusing on growing our categories supported by ongoing cost savings from reducing complexity. At the right time, we will address our capital structure – from a position of growing strength given the delivery of our turnaround plan and the performance of our Power Brands. I am excited by the potential offered by Premier Foods in the longer term.”


Warning: count(): Parameter must be an array or an object that implements Countable in /home/fdbusiness/public_html/wp-content/themes/legatus-theme/includes/single/post-tags.php on line 5
Share

About Author

mike

mike

Related Articles

Food & Drink Business Conference & Exhibition 2016

Upcoming Events

[eventlist]

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber

Subscribe Here



Advertisements