The statement reported a 10% increase in group revenue for FY23 compared with FY22, in addition to 2% year-on-year revenue growth during Q4.
Full year revenue growth was bolstered by a 14% year-on-year increase in the ‘other convenience’ category, while revenue associated with the ‘food to go’ business division grew by 8%.
Greencore will publish the group’s full year financial results on 28 November 2023, but projects adjusted operating profit to be ahead of current market expectations coming in between £74m and £76m. This is based on consensus market expectations of a mean adjusted operating profit of £70.1m, compiled by Greencore on 9 October 2023.
The sale of Trilby Trading Limited to K.T.C. (Edibles) Limited was also completed on 29 September 2023, after a deal worth €9.8m (£8.5m) was agreed in principle on 28 July 2023. Trilby is one of Ireland’s leading importers and distributors of vegetable oils and fats for the food processing industry and sells approximately 60,000 tonnes of product each year to customers in Ireland, the UK and the Netherlands.
Meanwhile, the group estimates that net debt will end the year at £155m, down from £180m at 2022 year end. This comes after approximately £36m of capital expenditure and the completion of a share buyback.
Greencore has returned £35m to shareholders since announcing the recommencement of value return in May 2022, with the group planning of returning £50m by May 2024.
Greencore pleased with ‘expected outcome for 2023’
Chief executive at Greencore, Dalton Phillips, hailed the group’s performance during the second half of 2023, a period that he described as “challenging” due to the backdrop of inflation.
“We continue to drive operational improvements across the business underpinned by our commitment to quality and customer service,” continued Philips.
“While macro-economic uncertainty remains, we are pleased with the expected FY23 outcome and are committed to driving an improved financial performance in the period ahead.”