Cake maker Finsbury posts sweet performance after munching on new bakeries
Celebration cake maker Finsbury Food Group reported a huge jump in revenue during its first four months of the financial year thanks to recent acquisitions of rival bakeries.
The company, which supplies major baked goods as well as Peppa Pig and Disney Princess celebration cakes to retailers including Morrisons and Marks & Spencer, said sales revenue grew to £102m, an increase of 78.1 per cent on the same period last year, including 10.1 per cent of organic growth.
Fletchers "is now fully integrated and performing strongly" after its acquisition in October last year, the company said. The deal helped doubled the size of the group, giving Finsbury access to the food service sector, selling bakery goods like doughnuts and hot dog buns to food outlets, pubs, cafes and prisons.
The company said Johnstone's Just Desserts is also "integrating well" after its June acquisition, before the start of the new financial year.
Finsbury Food's UK bakery division grew strongly, up by 8.7 per cent in the last four months and its overseas division rose by 19.4 per cent.
“The group continues investing in the business which includes an increased focus on capital expenditure enabling the Directors’ to maximise sales, efficiency and productivity opportunities across all businesses,” the company said.
The board also said that it expects the acquisitions will play a major role in driving growth during the current financial year.
Finsbury Food’s shares rose by nearly one per cent this morning following the announcement.