Aryzta sales rise to nearly €1bn despite 'weak' markets
Swiss-Irish food group Aryzta has seen revenue increase by over 13pc to almost €1bn in the 13 week period to the end of April.
The company's sales in Europe had underlying growth of just under 2pc, but were boosted a further 3.5pc due to differences in currencies to €406m.
Underlying growth in North America fell by 6.7pc, but received a huge currency boost to report overall revenue growth of 21.5pc to €509.4m. Overall the company's turnover increased by 13.2pc to €973.2m although underlying revenue fell by 2.3pc.
Following Aryzta’s placing of 29m shares in Origin Enterprises in March 2015, the group’s remaining 29 per cent interest in the Irish agri group will be presented as discontinued operations within the group’s results.
Aryzta’s chief executive Owen Killian acknowledged that the results showed a “ short-term weakness in performance”, but added that he was confident in the direction of the company.
He said: “As anticipated, underlying revenue declined in North America by (6.7)% in the quarter and this trend is expected to continue through Q4.
“Based on an expected flat trading performance within the Food Group underlying fully diluted EPS is expected to be circa 400c in the 2015 financial year.
He added: “Notwithstanding the short-term weakness in performance, Aryzta is confident the business model is intact. There is increasing evidence of cross-selling through the existing customer centric strategy and this will deliver future earnings growth.”