Cadbury sees steady trading

Dairy Milk firm Cadbury today said its UK division continued to “grow well” despite the economic and consumer gloom.

The update from Cadbury comes two months after it said demand for its relaunched Wispa chocolate bar and two additions to its Dairy Milk range helped lift quarterly sales by 11% in the UK.

Cadbury today said the group as a whole had performed in line with expectations, with its division covering Britain, Ireland, the Middle East and Africa continuing to grow. The only note of concern for investors came in North America, where Cadbury said there had been some “softening” in trading.

The company, which demerged its drinks business earlier this year, has increased its focus on its core brands, including Cadbury Dairy Milk, Trident chewing gum and Halls cough sweets.

Cadbury sold 1.2 million Wispa bars in one week after the product’s relaunch in September. The return of the product, which followed a consumer campaign on social networking sites, was accompanied by the launch of a new range of Dairy Milk bars – Cranberry & Granola and Apricot Crumble.

The improved UK performance has also reflected a significant recovery in candy after the same quarter last year was impacted by floods at the company’s factory in Sheffield.