Greencore Reports Further Improvement In Revenue In Fourth Quarter
Convenience foods firm Greencore has reported a 27% increase in pro forma revenue in the fourth quarter of its financial year, driven by the revival of the food-to-go segment and new business wins.
Compared to the corresponding period in 2019, the group said that revenue was up by 1%.
In its food-to-go business, revenue was up by 37% in the quarter (-2% compared to Q4 2019), while other convenience categories rose by 8% (+10% compared to Q4 2019).
In the preceding quarter, Greencore reported a 53.1% year-on-year revenue increase, it said in July.
Commenting on the performance, Patrick Coveney, chief executive officer, said, “We are pleased with the further improvement in our business in the fourth quarter, in particular the increase in demand across the business and our strong underlying cash generation."
Greencore said that good progress was made on the group’s sustainability objectives, in particular the launch of fully recyclable, plastic-free sandwich skillet trials for customers in September 2021.
Greencore said it is was encouraged by the progress seen in the final quarter of 2021 and is anticipating a reported revenue outturn of approximately £1,320 million for the full year.
"None of our progress would have been possible without the energy and dedication of our teams and colleagues who, as throughout the Covid pandemic, continue to do a fantastic job," Coveney said.
While the well documented supply chain and labour challenges persist across the UK food industry, the Group said that it is working closely with customers and suppliers to mitigate the impact and to deliver strong operational service levels.
The company also said that it is engaging intensively with customers to recover input cost and other inflation.
"Greencore has a strong position in the dynamic UK convenience food market and, looking forward, we remain confident in our medium-term prospects,” he added.