Latest news with #Greencore
Yahoo
23-07-2025
- Business
- Yahoo
Greencore feels glow of warm UK weather
UK group Greencore has raised its profit forecast for the year after a 'strong" quarter helped by the weather and new contracts. Greencore said its revenue was 'particularly strong' in the 13 weeks to 27 June, the company's third quarter. Revenue increased 9.9% to £511.1m ($691.8m) supported by 'favourable summer weather' and 'new business wins". As a result, Greencore has upgraded its adjusted operating profit forecast for the full year to £118m-121m ($159m-$163m) from a projection of £114-117m. Greencore reported its volume growth was 'encouraging across most categories' in the third quarter, especially in sandwiches, sushi and ready meals. Overall manufactured volume grew 3.6% and underlying volume growth was 1.9%, ahead of the wider grocery market growth of 0.7%, the company added. The news comes as Greencore is awaiting UK competition clearance for its proposed £1.2bn ($1.63bn) acquisition of fellow UK convenience-food manufacturer Bakkavor Group. Greencore CEO Dalton Philips said: "The Greencore team has delivered another outstanding performance in Q3, with particularly strong volume momentum, aided by favourable summer weather and new business wins. 'As we enter our seasonally important Q4, our focus remains on maintaining momentum in our business. He added: 'We look forward to completing the value-creating acquisition of Bakkavor in early 2026, subject to regulatory approval, and will continue to update on progress in due course." "Greencore feels glow of warm UK weather" was originally created and published by Just Food, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Irish Times
22-07-2025
- Business
- Irish Times
Greencore's shares surge after revenues exceed market expectations
Greencore shares surged on Tuesday, after the sandwich maker reported third quarter revenues well ahead of analyst expectations. The Dublin-based food group saw revenue for the 13 weeks to June 27th – Greencore's third fiscal quarter – rise 9.9 per cent to £511.1 million (€588 million), it said in a statement. That was well ahead of the 3.3 per cent average increase expected by analysts, according to stockbroker Davy. Sales are up 7.6 per cent for the fiscal year to date, Greencore added. 'As we enter our seasonally-important Q4, our focus remains on maintaining momentum in our business,' chief executive Dalton Philips said. 'While we are mindful of an uncertain economic backdrop and ongoing inflationary pressures, we now expect to deliver a full year adjusted operating profit of £118-121 million, ahead of previous guidance.' READ MORE Shares in the London-listed company jumped as much as 11.4 per cent, hitting their highest level in at least five years. Much of the revenue growth came amid the 'favourable summer weather', Greencore said, as well as new business wins. The company is the biggest sandwich producer in the UK market and one of the biggest makers of ready meals. It counts the likes of Marks & Spencer and Tesco among its customers. Traditionally, it benefits from good weather as more workers tend to buy a takeaway lunch when the sun is out. 'Greencore delivered a robust Q3 trading performance, with reported revenue growth of 9.9 per cent driven by strong, broad-based momentum across both categories,' Davy analysts, including Gary Martin, said in a research note. 'Profit conversion was ahead of expectations in Q3 2024 and the group now anticipates FY25 adjusted operating profit to be in the range of £118–121 million. At first look, we see upside to our current forecasts,' Davy added. Volume increases accounted for 6.8 percentage points of the jump in revenue, with price increases to offset inflation making up the remaining 3.1 percentage points. Greencore remains on track to complete its £1.2 billion purchase of rival Bakkovor in 'early 2026', Mr Philips said, subject to regulatory approval. The UK Competition and Markets Authority (CMA) said earlier this month that it was inviting interested parties to file comments with it as part of its so-called phase one inquiry into the transaction. 'CMA is considering whether it is or may be the case that this transaction, if carried into effect, will result in the creation of a relevant merger situation under the merger provisions of the Enterprise Act 2002 and, if so, whether the creation of that situation may be expected to result in a substantial lessening of competition within any market or markets in the United Kingdom for goods or services,' the agency said at the time. Greencore secured backing from Bakkavor's board in April for a deal to create a leading convenience food business in the UK with a combined revenue of £4 billion and about 30,500 employees. It would see existing Greencore investors own 56 per cent of the group, with Bakkavor investors holding the remainder.
Yahoo
22-07-2025
- Business
- Yahoo
UK equities mixed as investors assess corporate earnings, await key data
By Sukriti Gupta (Reuters) -London's main stock indexes were mixed on Tuesday as investors parsed a spate of corporate earnings, and awaited the release of key economic data this week. The benchmark FTSE 100 was flat by 0944 GMT, after registering a record closing high on Monday. The domestically oriented midcap FTSE 250 lost 0.4%. Industrial miners rose 1.1%, tracking a rise in copper prices, buoyed by hopes for firmer Chinese demand. Glencore gained 2.2%, while Rio Tinto rose 1.1%. [MET/L] Homebuilders and household goods stocks led sectoral losses, falling 1.6%. Vistry down 2.7%. Data showed Britain borrowed more than expected in June as a jump in inflation pushed up the government's debt costs. In company news, British food catering firm Compass Group rose 6.1% to the top of the blue-chip index, after it agreed to buy European premium food services business Vermaat Groep for about 1.5 billion euros ($1.75 billion), including debt and also raised its annual profit forecast. Energy firm Centrica surged 3.9% after Britain approved the 38 billion pound ($51 billion) Sizewell C nuclear plant in eastern England. The company holds a 15% stake in the project. Greencore jumped 10.5%, to top the FTSE mid-cap index, after the convenience food manufacturer raised its annual profit expectations. Kier Group fell 5.1%, to the bottom of the mid-cap index, after the British infrastructure and construction group said that its CEO Andrew Davies would be stepping down, and named insider Stuart Togwell as his successor, effective November 1, 2025. Meanwhile, AstraZeneca on Monday said it plans to invest $50 billion in the U.S. to expand manufacturing and research capabilities as it reacts to White House trade policy. On the radar this week are UK flash Purchasing Managers' Index for July and June retail sales data. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
22-07-2025
- Business
- Reuters
UK's Greencore raises forecast as chilled food demand soars in summer
July 22 (Reuters) - Chilled and frozen food manufacturer Greencore (GNC.L), opens new tab raised its annual profit forecast on Tuesday, driven by cost cuts and strong demand for its convenience products during the summer, sending the company's shares up more than 10%. Greencore, which supplies chilled salads, sandwiches, sushi, soups and frozen Yorkshire puddings to stores in the UK, expects adjusted operating profit of 118 million pounds to 121 million pounds ($159 million to $163 million) for the year ending September. That compares with its previous forecast of 114 million pounds to 117 million pounds. "As we enter our seasonally-important Q4, our focus remains on maintaining momentum in our business," CEO Dalton Philips said. The company, which counts Aldi, M&S (MKS.L), opens new tab, Tesco (TSCO.L), opens new tab, Waitrose and Sainsbury's (SBRY.L), opens new tab among its customers, reported a 9.9% sequential increase in revenue during the third quarter. Shares rose as much as 11.6% to 269 pence by 0907 GMT, and were the top percentage gainer on London's mid-cap FTSE 250 (.FTMC), opens new tab index. Greencore's update contrasts that of baker Greggs (GRG.L), opens new tab, which earlier this month warned of a profit dip as unusually high temperatures in the UK discouraged customers from eating out. Premier Foods (PFD.L), opens new tab also flagged the warmer weather was hitting demand for gravy, stock and soup. Greencore launched 168 new products during the summer, it said, even as it cautioned of uncertainties in the broader macroeconomic environment. British food prices accelerated by the most since March 2024 in June, a survey earlier this month showed. "The business is continuing to deliver upgrades despite cost headwinds, and we are taking an increasingly favourable view of the Bakkavor combination," Jefferies analysts said in a note. Greencore said on Tuesday it continues to expect to close its $1.6 billion takeover of Bakkavor Group (BAKK.L), opens new tab in early 2026, sending the fresh food provider's shares up as much as 8.1%. ($1 = 0.7423 pounds)
Reuters
22-07-2025
- Business
- Reuters
UK equities mixed as investors assess corporate earnings, await key data
July 22 (Reuters) - London's main stock indexes were mixed on Tuesday as investors parsed a spate of corporate earnings, and awaited the release of key economic data this week. The benchmark FTSE 100 (.FTSE), opens new tab was flat by 0944 GMT, after registering a record closing high on Monday. The domestically oriented midcap FTSE 250 (.FTMC), opens new tab lost 0.4%. Industrial miners (.FTNMX551020), opens new tab rose 1.1%, tracking a rise in copper prices, buoyed by hopes for firmer Chinese demand. Glencore (GLEN.L), opens new tab gained 2.2%, while Rio Tinto (RIO.L), opens new tab rose 1.1%. Homebuilders and household goods stocks (.FTNMX402020), opens new tab led sectoral losses, falling 1.6%. Vistry (VTYV.L), opens new tab down 2.7%. Data showed Britain borrowed more than expected in June as a jump in inflation pushed up the government's debt costs. In company news, British food catering firm Compass Group (CPG.L), opens new tab rose 6.1% to the top of the blue-chip index, after it agreed to buy European premium food services business Vermaat Groep for about 1.5 billion euros ($1.75 billion), including debt and also raised its annual profit forecast. Energy firm Centrica (CNA.L), opens new tab surged 3.9% after Britain approved the 38 billion pound ($51 billion) Sizewell C nuclear plant in eastern England. The company holds a 15% stake in the project. Greencore (GNC.L), opens new tab jumped 10.5%, to top the FTSE mid-cap index, after the convenience food manufacturer raised its annual profit expectations. Kier Group (KIE.L), opens new tab fell 5.1%, to the bottom of the mid-cap index, after the British infrastructure and construction group said that its CEO Andrew Davies would be stepping down, and named insider Stuart Togwell as his successor, effective November 1, 2025. Meanwhile, AstraZeneca (AZN.L), opens new tab on Monday said it plans to invest $50 billion in the U.S. to expand manufacturing and research capabilities as it reacts to White House trade policy. On the radar this week are UK flash Purchasing Managers' Index for July and June retail sales data.
