Alliance News) - Greencore Group PLC on Wednesday raised its annual profit guidance, after reporting an improvement in profit conversion in its third quarter.

The Dublin-based convenience food maker said like-for-like revenue in the third quarter ended June 28 rose 1.4%. It noted manufactured volumes were ‘more subdued’, however, as June 2023 presented a ‘strong’ comparator.

Overall revenue fell 6.1% on-year to £465.2 million.

‘Q3 represents another excellent performance by the business against a tough comparative period. Our continued progress has been delivered through ongoing impactful operational and commercial initiatives, which we are continuing to implement at pace, supporting the improved profit conversion in the quarter,’ Chief Executive Dalton Philips said.

The company explained that profit conversion continued to improve year-on-year ‘benefiting from ongoing commercial, operational and cost initiatives.’

For the full-year, it now expects adjusted operating profit in the range of £88 million to £90 million, ‘ahead of previous guidance and market expectations’. It puts market expectations for profit at £87.6 million, with prior guidance between £86 million and £88 million.

Adjusted operating profit in financial 2023 rose 5.7% to £76.3 million.

Shares in Greencore were up 2.9% to 185.00 pence each in London on Wednesday morning.

Copyright 2024 Alliance News Ltd. All Rights Reserved.