Jan 21(Reuters) - British food producer Premier Foods forecast its annual trading profit at the upper end of analysts' estimate on Wednesday, helped by strong growth in its branded products and sales
Premier Foods Optimistic About Profit Growth Following Holiday Sales Surge
Premier Foods Profit Forecast
Jan 21 (Reuters) - Premier Foods forecast annual profit at the upper end of market expectations on Wednesday, as consumers indulged in premium ranges such as Mr Kipling Signature Mince Pies and new launches such as OXO Bone Broth over the festive period.
Shares in the company rose as much as 7.2% to 181.4 pence in early trade.
Analysts expect trading profit of between 193 million pounds and 198.2 million pounds ($259.3 million-$266.3 million) for fiscal 2026, according to a company-compiled consensus.
Sales Performance During Christmas
Premier Foods has been operating in a highly competitive retail environment where shopper demand is heavily shaped by discounts and in-store promotions, and has increasingly leaned towards launching products focused on nutrition, convenience, seasonal cooking and sustainable packaging.
"Our portfolio of brands offer consumers great options to cook and eat affordable, delicious meals at home, and together with our track record of performance through all economic cycles, firmly underpins confidence in our medium-term prospects," CEO Alex Whitehouse said in a statement.
Analyst Insights on Company Growth
Its newly acquired brands such as The Spice Tailor, FUEL10K and Merchant Gourmet also performed well with double-digit revenue growth, the company said.
Analysts at RBC Capital Markets said Premier Foods’ third‑quarter update was "reassuring".
The company, one of the UK's largest food producers supplying to supermarkets and the food services sector, reported a 5.2% rise in branded revenue growth over the Christmas period, extending the growth seen in the previous quarter.
Premier reported total sales of 375.1 million pounds for the quarter ended December 27, 2025, a year-on-year increase of 4.1%.
($1 = 0.7444 pounds)
(Reporting by Ankita Bora in Bengaluru; Editing by Sumana Nandy and Sharon Singleton)
