Greencore: reports solid performance in Q3-2023

Dublin / IE. (gg) Greencore Group PLC, a leading manufacturer of convenience food in the UK, issues its trading update for the 13 weeks ended 30 June (Q3-2023). Performance:

  • Greencore delivered a solid financial and operational performance in Q3 FY23, underpinned by outstanding customer service levels and the ongoing resilience of the categories in which it operates.
  • Group reported revenue increased in Q3 FY23 by 1.9 percent to GBP 495.4m. On a Pro Forma basis revenue grew by 9.3 percent with the increase driven by a combination of inflation recovery and underlying volume growth, supported by the contribution from new customer wins. Across the Group, manufactured volume growth in the quarter was +0.9 percent.
  • Q3 FY23 reported revenue in food to go categories increased by 0.6 percent to GBP 335.3m with Pro Forma revenue growth of 8.1 percent. The increase was primarily due to inflation recovery, in addition to food to go manufactured volumes being 2.0 percent ahead of Q3 FY22. Revenue from the distribution of third-party products was approximately 1 percent ahead of the prior year due to higher volumes.
  • Q3 FY23 reported revenue in other convenience categories was GBP 160.1m, a 4.7 percent increase year-on-year. On a Pro Forma basis this represented a 12.1 percent increase. The improvement was largely due to inflation recovery, the on-boarding of new business wins in ready meals coupled with a strong performance across ambient sauces. Underlying ready meals volumes in the quarter were 2.6 percent lower net of new business wins.
  • Cost inflation continues to be managed through ongoing recovery and other mitigating actions, although the rate of inflation in some areas is now beginning to slow.
  • Profit conversion and underlying free cash generation in Q3 FY23 were in line with management expectations and underpinned by on-going operational and commercial initiatives.

For additional information please read the Company’s PDF file below (130 KB):