Half year results for the 26 weeks ended 30 September 2023
- Branded revenue up +15.8%; Q2 branded revenue up +14.3%
- Total Headline Grocery revenue up +24.6%, Sweet Treats revenue up +5.4%
- Grocery market share increased +113bps
- Trading profit +19.0%; margins continue to be in line with prior year
- Increased marketing investment across all major brands, expanding Best Restaurant in Town campaign
- Strong International progress; Mr Kipling distribution building in USA and further market share growth in Australia
- New categories revenue increased +21% led by continued momentum of Ambrosia porridge pots
- The Spice Tailor continues to build distribution and on track to deliver returns ahead of plan
- FUEL10K acquisition completed early in H2, accelerating expansion into breakfast category
- FY23/24 Trading profit now expected to be in the region of 10% ahead of prior year
Alex Whitehouse, Chief Executive Officer
“We’ve had a really good start to the year, making strong progress against all our strategic pillars. We delivered branded revenue growth of nearly 16%, again maintained our Trading profit margins and we continue to grow faster than our markets, gaining 113 basis points of share in our Grocery categories. This performance once again demonstrates the power of our branded growth model and the capabilities of our team. New categories revenue increased by 21%, driven by Ambrosia porridge pots and our International business grew by 19%, with Mr Kipling building distribution in the USA and taking further market share in Australia.”
“We know how challenging the past year has been for many consumers and so it’s good to see the rate of input cost inflation falling. This has now given us the opportunity to lower promotional prices across a number of our major branded products such as Batchelors Super Noodles and Mr Kipling Slices.”
“We’re very pleased to have recently acquired the vibrant breakfast brand FUEL10K, providing us with the ideal platform to accelerate our expansion into breakfast and deploy our branded growth model, while The Spice Tailor is on track this year to deliver returns ahead of our original acquisition plan. With a strong first half behind us, a good start to quarter 3 and exciting plans for the rest of the year, we are again raising our Trading profit expectations for FY23/24, following our previous upgrade earlier this year.”
To view the RNS of our half year results for the 26 weeks ending 30 September 2023 please click this link >>