primark owner Associated British Foods announces 2018 results

Associated British Foods (ABF), which owns grocery brands including Kingsmill and Dorset Cereals and fashion retail chain Primark, has amassed £15.6 billion in group revenue in 2018, one percent actual increase from the previous financial year.

The actual growth in revenue in 2017 was 15 percent. However, company enjoyed the benefit a one-time profit on the sale of businesses in 2017.

On constant currency terms the growth figure is a much better at 3 percent this year whereas in 2017, the figure stood at 6 percent.

The adjusted pre-tax profit for 2018 was £1.37 billion, which represents a 5 percent increase from 2017.

The company has increased the dividend per share by 10 percent to 45p.

Profits from the sugar business declined last year on account of low prices in the first year after the structural change in the EU sugar regime. This was offset by strong performances in Primark, Grocery, Agriculture and Ingredients businesses, said George Weston, chief executive of ABF.

“This was another year of progress for the group. We continued to pursue the opportunities to grow our businesses with a gross investment of £1.2 billion. Looking ahead, management have clear plans for further investment and for pursuing opportunities for business improvement,” Weston added.