Premier Foods gains market share

14th Jan 2010 07:02

Hovis to Branston Pickle maker Premier Foods said it expects to report encouraging branded sales growth of 6.4% and market share gains in its key branded categories. Total sales for 2009 are anticipated to be around £2,661m, up 2.2% on 2008, with branded sales for the year of £1,678m representing 63% of total group sales compared to 61% in 2008. Sales in the fourth quarter were up by 1.5% on last year with branded sales up 7.0%.Premier also expects to report a trading profit of around £320m, an increase of approximately 3.5% on 2008 and net regular interest of around £155m. Adjusted pre-tax profits will be around £165m. In the grocery arm, sales growth trends in the fourth quarter have improved on those seen in the previous three month period, with year on year branded sales growth accelerating to over 8%. The group said its Hovis division has had a 'very successful' year in line with the strategy launched in 2008 to grow the brand. Sales for the chilled retailer brand ready meals and cake businesses in the fourth quarter increased by 5.9% on the same period last year, bringing sales for the year to £214m, a rise of 5.5%.