190 million mince pies sold as Mr Kipling-maker Premier Foods has best Christmas ever
Maker of favourites including Mr Kipling cakes, Oxo and The Spice Tailor enjoyed its best-ever Christmas performance, selling four million more mince pies than the previous year.
The St Albans-based listed firm reported a 14.4 per cent increase in sales in last year’s third quarter, with major departments including grocery and sweet treats surging.
It said its total market share increased by 121 basis points on the previous year, as Brits hunkered down during the latter part of 2023, filling their store cupboards instead of going out to restaurants.
Looking ahead, Premier Foods said it looks to “trade strongly” and it is “well on track to deliver against its previously raised profit expectations”.
It also said it would deliver a “full resolution of its pensions schemes… within three years”.
In the last year, Premier Foods has seen its share price steadily increase, now more than 22 per cent up.
Among its strongest-performing areas, Premier Foods said grocery sales had increased by 11.9 per cent in the third quarter, driven by brands in the flavourings and seasonings industry.
It said staples such as Bisto, Oxo and Paxo had growth, as did Ambrosia pots, Mr Kipling and Angel Delights. Branded sweets also returned to growth as sales soared by 17 per cent, due to sales of Cadbury cakes, such as mini rolls.
Premier Foods said it sold 190 mince pies over the quarter, four million more than the previous year over Christmas, while its international arm also grew, especially in Ireland, as it looks to expand further in the US and Australia.
“We delivered a very strong performance in our important third quarter with double-digit sales growth across the Group, underlined by particularly strong market share gains of over 120 basis points”, said Alex Whitehouse, its chief executive.
“Our International business had another very good quarter, growing sales by 11 per cent”, while sales “in new categories more than doubled, with Ambrosia Porridge pots and Mr Kipling and Angel Delight Ice-cream both standout performers”.
Whitehouse added: “The lower promotional price points we introduced in the third quarter have positively impacted performance while also helping consumer budgets go further. These lower prices will be extended to additional products such as Loyd Grossman cooking sauces and Mr Kipling Bakewell slices in quarter four.”
“With another strong period of trading behind us, and great plans for the coming months, we are well on track to deliver on profit expectations for this year.”