Premier Foods sees sales rise by six per cent

Premier Foods, the group which owns brands including Mr Kipling, Sharwoods and Oxo, has reported a six per cent sales rise in its first quarter of 2022.

In the 13 weeks to 2 July 2022, total sales reached £197m across the group, compared with £185.9m over the same period last year. Sales of its branded products also rose 4.2 per cent.

The group says it continued to grow its market share for its products during the quarter, both in-store and online. However, it noted that in its grocery products “volumes were slightly lower, in part due to tougher comparatives reflecting pandemic restrictions in the prior year”.

In a letter to shareholders, CEO Alex Whitehouse expressed confidence that Premier Food’s brands would do well during the cost of living crisis.

“Consumers are increasingly looking to cook tasty, affordable meals at home; this fits well with our broad portfolio of brands and was illustrated by the strong performance of Batchelors and Nissin in the quarter,” he said.

He also highlighted new product launches at Mr Kipling and Sharwood, as well the “benefit” to the Mr Kipling brand of its TV advertising campaign launched during the quarter. Whitehouse said the company was continuing to pursue its “branded growth” model.

The group’s expectations for the full year remain unchanged as it “expects to continue to realise further shareholder value through the ongoing delivery of its five pillar growth strategy”.