Premier Foods PLC has released its Quarter 3 trading update for the thirteen weeks ended 30 December 2023, showcasing a robust performance. The company reported a 14.4% increase in Q3 Group sales compared to the prior year, with Branded sales up 12.7%. Notably, the company experienced significant market share gains, with total market share increasing by 121 basis points versus the prior year. International sales were up 11%, and sales from New Categories more than doubled, reflecting strong performances across strategic markets.
The CEO, Alex Whitehouse, highlighted the company's strong performance, emphasizing double-digit sales growth across the Group and particularly strong market share gains. Festive favorites such as Bisto, Oxo, and Paxo contributed to the company's biggest ever Christmas, with nearly 190 million mince pies sold, 4 million more than the previous year. The company also introduced lower promotional price points in the third quarter, positively impacting performance and consumer budgets.
In terms of specific product categories, Grocery sales increased by 11.9%, with strong performances across the portfolio, while Branded Sweet Treats returned to growth with sales up 17.1%, largely due to significantly higher sales of Cadbury cake compared to the previous year. The International segment continued to progress strongly, with sales growing by 11% in the period, reflecting broad-based growth in Ireland and strong instore execution in Australia and the USA.
Looking ahead, Premier Foods PLC is well on track to deliver against its previously raised profit expectations for the full year. The company continues to trade strongly, delivering further progress against its strategy, and anticipates a full resolution of its pensions schemes within three years, which is expected to open up value-enhancing opportunities to further accelerate shareholder value.
Premier Foods PLC, as one of the UK's largest food businesses, employs over 4,000 people and operates from 15 sites across the country, supplying a range of retail, wholesale, foodservice, and other customers with its iconic brands, including Ambrosia, Batchelors, Bisto, and Loyd Grossman.