By Najat Kantouar
Premier Foods, a leading U.K. food manufacturer known for brands such as Mr. Kipling, Ambrosia, and Bisto, has announced a higher pretax profit for the first half of fiscal 2024. The company experienced strong sales and profit margins growth, leading to an increase in its full-year forecast.
In the six months ending on September 30, pretax profit reached £58.1 million ($72.1 million), compared to £42.1 million in the same period last year. Trading profit, the company's preferred metric, also saw an increase from £56.7 million to £67.5 million. Premier Foods expects this upward trend to continue, projecting a 10% rise in trading profit for the entire fiscal year 2023.
Revenues also experienced significant growth, rising from £419.9 million to £494.1 million, primarily driven by a 21% increase in revenue from new product categories.
Chief Executive Officer Alex Whitehouse expressed optimism about the company's performance, stating, "With a strong first half behind us, a good start to quarter 3, and exciting plans for the rest of the year, we are again raising our trading profit expectations for FY23/24, following our previous upgrade earlier this year."
As of 0803 GMT, shares in Premier Foods were up 5.2% at 137.80 pence.