Convenience food manufacturer Greencore has delivered “strong” financial and operational performance in Q3 FY25, with revenue increasing by 9.9%.
Revenue was reported to be “particularly strong” in Q3, increasing 9.9% on the year to reach £511.1 million, which Greencore said was “supported by favourable summer weather and new business wins”. The company said the increase was driven by an increase in total volumes and mix of 6.8%, as well as the “positive impact” of inflation recovery of 3.1%.
Greencore found that overall manufactured volume grew 3.6% in Q3, while underlying volume growth was 1.9%, ahead of the wider grocery market growth of 0.7%. Volume growth was “encouraging” across the sandwiches, sushi and ready meals categories.
For Q3, profit conversion was ahead of management’s expectations, which Greencore said was “driven by strong volume momentum and disciplined cost management”.
Greencore said it remained cautious around the “uncertain” UK economic environment, and alongside “continued inflationary pressures” Greencore now anticipates the FY25 Adjusted Operating Profit will be in a range of £118-121 million.
“As we enter our seasonally important Q4, our focus remains on maintaining momentum in our business.”
Dalton Philips, chief executive officer of Greencore, commented: “The Greencore team has delivered another outstanding performance in Q3, with particularly strong volume momentum, aided by favourable summer weather and new business wins.
“As a close strategic partner to our customers, I’m delighted with how we have been able to deliver market-leading convenience food innovation, strong service levels and products of the highest quality to our retail customers and their shoppers. I would like to thank our 13,300 colleagues, who work tirelessly to make this happen every day.
“As we enter our seasonally important Q4, our focus remains on maintaining momentum in our business. While we are mindful of an uncertain economic backdrop and ongoing inflationary pressures, we now expect to deliver a full year Adjusted Operating Profit of £118-121 million, ahead of previous guidance.
“We look forward to completing the value-creating acquisition of Bakkavor in early 2026, subject to regulatory approval, and will continue to update on progress in due course.”
