Premier sees strong demand for branded goods

PREMIER Foods, the manufacturer behind well-known brands such as Hovis and Branston, announced good progress today with a sharp rise in sales of its branded goods.

The firm, which employs nearly 700 people in the region, saw branded sales rise 6.5% to £1.6bn.

It said trading profit, which is operating profit before exceptional items, rose by 4.5% to £323m.

Overall sales rose 2.2% to £2.6bn during the 12 months to December. Pre-tax profit came in at £47m compared to a £405m loss in 2008.

Chief executive Robert Schofield said: “Premier Foods achieved a tremendous amount in 2009. We strengthened our balance sheet, cut debt, increased trading profits and returned to positive earnings. Most importantly we improved the performance of all our key brands in a highly competitive market place.”

He added: “We are confident that our business model is capable of continuing to capture share in our key market segments and delivering sustained earnings growth and cash generation over the medium term. We look forward to the next stage of the group’s development with determination and enthusiasm.”