Greencore Group plc has said it ‘performed well against its organisational, commercial, operational and financial objectives’ in the 13 weeks up to December 28, 2018.
In a statement, the group said that it had racked up revenue of €418.6 million (£363.5 million at the current exchange rate) during the quarter.
On a ‘pro forma’ basis – the typical, usual transactions that exclude disposed sites and those that have ceased trading – the group’s revenue increased by 5.8% in the quarter, largely because of growth in the Food To Go categories.
Breaking the figures down further, the Food To Go categories brought in a 6.4% increase in revenue, both pro forma and reported, during the quarter.
If Food To Go is discounted, the group’s overall revenue fell by 21.2% on a reported basis.
Discontinued operations
Greencore disposed of its US business on November 25, 2018; revenue from these operations in the quarter up to this point amounted to €199 million (£172.8 million).
Using the proceeds from the disposal of its US business, the group repaid some outstanding borrowings and financial instruments and, as a result, ended the year in a net cash position, according to a statement.
Tender offer
Greencore also announced that it will return up to €586 million (£509 million) in a tender offer, with shares going for €2.25 / ordinary share (£1.95 / ordinary share).
The offer is conditional on the shareholders approving the move at the group’s Annual General Meeting today, Tuesday, January 29.
Concluding, the statement from the group said it has “made an encouraging start to the year”.
“The Group anticipates continued underlying revenue growth in its key convenience food categories. Adjusted operating profit growth will be driven by this revenue growth, improved operational performance and by a planned review of central overheads,” it said.