Greencore expects to beat targets after positive summer

Food group Greencore in an interim management statement issued this morning said it expects to "modestly exceed" its previous guidance for earnings per share of about 16c for the full year.

"Trading over the summer months to date has been very positive and the Group remains on track to record strong operating profit growth in FY10 in Convenience Foods," the company said in the statement, covering the four-month period to July 23.

Greencore said that in its half-year results announced in May it highlighted that the Convenience Foods division had recorded a strong first half with sales from continuing operations increasing by 6.1%.

"The division has had a buoyant summer to date with the positive half year sales trend improving in the period since," it said today.

"In the four month period under review Convenience Foods sales from continuing operations were €281.2m or 7.0% ahead of the same period last year.

"The key food to go and prepared meals categories, in particular, continue to perform well.

Trading in the Ingredients and Property division in the four month period was in line with expectations.

Greencore also said it expects to complete the sale of its Dutch convenience foods business by the end of August having announced its intention to sell the business on July 15.