Earnings release
Page 1
17 July 2025 Premier Foods plc (the "Group" or the "Company") Strong Sweet Treats branded growth; full year Trading profit expectations unchanged Premier Foods today provides its Quarter 1 trading update for the thirteen weeks ended 28 June 2025 · Q1 Group branded sales 4 up 1.2%, lapping strong comparatives a year ago; further market share gains · Group sales increased 0.3% 4 compared to prior year · Sweet Treats branded sales up 11.4% with volume‐led growth from strong innovation programme · Grocery branded sales (2.0%) lower as higher UK temperatures impacted some categories · New categories sales up 38%; further strong growth from Ambrosia Porridge pots and Cape Herb & Spice · International 4 sales up 5%; strong in‐market Australia performance · Acquired brands The Spice Tailor and FUEL10K both delivered double‐digit UK sales growth · FY25/26 full year Trading profit expectations unchanged Alex Whitehouse, Chief Executive Officer "We grew branded sales by another 1.2% this quarter, led by very strong volume led growth in branded Sweet Treats. This was driven by the strength of our innovation programme with new product ranges such as Mr Kipling birthday cake tarts performing very strongly, as we brought to Britain a trend that is particularly popular in the US." "We also continued to grow volume and value market share overall, despite the impact of recent warmer weather on some Grocery categories. Ambrosia porridge and Cape Herb & Spice were key drivers of further good progress in New categories, with sales up 38%, while The Spice Tailor and FUEL10K also continued to perform very well." "We expect branded revenue growth to build through the year, as we launch further new products, such as FUEL10K yogurt and granola pots. Our Trading profit expectations for the full year are unchanged, underpinned by our proven branded growth model and ongoing cost efficiency programmes." Trading update Grocery Grocery revenue of £174.7m was down (2.7%) compared to the same quarter a year ago. Branded sales were lower than last year reflecting strong volume growth in the comparative period, while categories such as gravy, stock and soup were impacted by higher than average temperatures during the quarter. Sales of The Spice Tailor and FUEL10K both grew strongly, supported by further new product development such as East Asian cooking sauce kits and protein enriched Noodles. New categories revenue increased by 38% in the quarter; Ambrosia Porridge pots yet again Quarter 1 Trading Update Released : 17/07/2025 07:00 RNS Number : 3851R Premier Foods plc 17 July 2025
Page 2
significantly increased sales and market share, leveraging further distribution gains and Cape Herb & Spice also delivered strong sales growth. Non‐ branded Grocery revenue declined (8.8%) due to consumers switching to brands in certain categories, and the decision to exit some lower margin contracts. The second half of the year will see an acceleration in new product development launches. The Spice Tailor is extending into another cuisine with the introduction of Mexican kits, FUEL10K enters the chilled aisle with high protein yogurt and granola pots and Bisto brings Peri‐Peri gravy to market, to attract more younger consumers. Sweet Treats Sweet Treats branded sales grew strongly in the quarter, up 11.4% on last year, substantially due to the quality of its innovation programme. For example, the indulgent Mr Kipling Signature Brownie Bites contributed strongly to growth, as did Birthday cake tarts, attracting new consumers into the category, while the recently launched healthier 'Lunchbox slices' also contributed to growth. Meanwhile, Cadbury cake benefitted significantly from the launch of new Caramel Mini Rolls. In overall terms, the cake category grew in the period, and Mr Kipling and Cadbury cake both delivered volume and value market share gains in this growing category. Towards the end of the quarter, the Group also launched new Mr Kipling 'Breakfast Bakes' which contain fibre and 30% less sugar. Non‐branded sales declined by (5.6)% largely due to contract exits on Swiss Rolls, Whirls and Slices. International Overseas revenues grew by 5% 4 at constant currency compared to last year. In Australasia , cake and cooking sauces both delivered good sales growth, which was reflected in market share gains in both categories. Outlook The Group expects branded revenue growth to build through this financial year, as strong comparatives ease and further new product development comes to market. Expectations for Trading profit this year are unchanged, underpinned by delivery of the Group's branded growth model and its ongoing cost efficiency programmes. In the medium‐term, the Group expects to continue to deliver strong progress against all five pillars of its growth strategy. Further information A conference call for investors and analysts hosted by Alex Whitehouse, CEO, and Duncan Leggett, CFO, will take place today, 17 July 2025, at 9:00am BST. Dial in details are outlined below. A recording of the conference call will be available on the Company's website later in the day: www.premierfoods.co.uk/investors/results‐centre Telephone: 0808 189 0158 ( UK toll free) +44 20 3936 2999 (standard international access) Access code: 718872 A Premier Foods image gallery is available using the following link: www.premierfoods.co.uk/media/image‐gallery/ As one of Britain's largest food producers, we're passionate about food and believe each and every day we have the opportunity to enrich life for everyone. Premier Foods employs over 4,000 people operating from 13 sites across the country, supplying a range of retail, wholesale, foodservice and other customers with our iconic brands which feature in millions of homes every day. Through some of the nation's best‐loved brands, including Ambrosia, Batchelors, Bisto , Loyd Grossman, Mr Kipling, Ox o and Sharwood's, we're creating great tasting products that contribute to healthy and balanced diets, while committing to nurturing our people and our local communities, and going further in the pursuit of a healthier planet , in line with our Purpose of 'Enriching Life Through Food'. Contacts: Institutional investors and analysts: Duncan Leggett, Chief Financial Officer Richard Godden, Director of Investor Relations Investor.relations@premier foods.co.uk Media enquiries: Lisa Kavanagh, Director of Corporate Affairs
Page 3
Headland Ed Young +44 (0) 7884 666830 Jack Gault +44 (0) 7799 089357 ‐ Ends ‐ Notes to editors: 1. Sales data is for the thirteen weeks to 28 June 2025 and 29 June 2024 2. Sales disclosed include acquisitions and exclude Charnwood Foods, which closed in the prior financial year 3. Market share data sourced from IRI, 12 weeks ended 28 June 2025 4. Sales are stated on a constant currency basis, unless otherwise stated 5. All financial data is unaudited and has not been subject to review by the Company's auditors Q1 Sales (£m) FY25/26 Actual FY25/26 Constant currency FY24/25 Change vs 1 year ago Change vs 1 year ago at constant currency Grocery Branded 158.4 158.7 161.9 (2.2%) (2.0%) Non‐branded 16.0 16.0 17.5 (8.8%) (8.8%) Total 174.4 174.7 179.4 (2.8%) (2.7%) Sweet Treats Branded 57.8 57.8 51.9 11.4% 11.4% Non‐branded 7.5 7.5 8.0 (5.6%) (5.6%) Total 65.3 65.3 59.9 9.1% 9.1% Group Branded 216.2 216.5 213.8 1.1% 1.2% Non‐branded 23.5 23.5 25.5 (7.8%) (7.8%) Total 239.7 240.0 239.3 0.2% 0.3% This announcement may contain "forward‐looking statements" that are based on estimates and assumptions and are subject to risks and uncertainties. Forward‐looking statements are all statements other than statements of historical fact or statements in the present tense, and can be identified by words such as "targets", "aims", "aspires", "assumes", "believes", "estimates", "anticipates", "expects", "intends", "hopes", "may", "would", "should", "could", "will", "plans", "predicts" and "potential", as well as the negatives of these terms and other words of similar meaning. Any forward‐looking statements in this announcement are made based upon Premier Foods' estimates, expectations and beliefs concerning future events affecting the Group and subject to a number of known and unknown risks and uncertainties. Such forward‐ looking statements are based on numerous assumptions regarding the Premier Foods Group's present and future business strategies and the environment in which it will operate, which may prove not to be accurate. Premier Foods cautions that these forward‐looking statements are not guarantees and that actual results could differ materially from those expressed or implied in these forward‐looking statements. Undue reliance should, therefore, not be placed on such forward‐looking statements. Any forward‐looking statements contained in this announcement apply only as at the date of this announcement and are not intended to give any assurance as to future results. Premier Foods will update this announcement as required by applicable law, including the Prospectus Rules, the Listing Rules, the Disclosure and Transparency Rules, London Stock Exchange and any other applicable law or regulations, but otherwise expressly disclaims any obligation or undertaking to update or revise any forward‐looking statement, whether as a result of new information, future developments or otherwise. This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com. RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
Page 4
END TSTUNVBRVOUBAAR