Greencore raises profit forecast as sandwich sales return

Convenience foods were decimated in the pandemic as workers remained at home

Greencore CEO Patrick Coveney: 'We are rebuilding our economic model.'

Irish food group Greencore has regained ground lost during the pandemic last year recording revenues just 2.8% below 2019 levels as the UK economy reopened and workers returned to offices.

The sandwich and convenience food maker saw revenues jump 53% compared to 2020, for the third quarter up until June 25.

In its Food to Go category, revenues were down 9% compared to the same period in 2019 and down just 4% in June.

“We are encouraged by the improvement in revenue, profitability and cash flow momentum in Q3 and the early weeks of Q4," CEO Patrick Coveney said.

"Against the backdrop of the UK economy reopening fully, we are rebuilding our economic model effectively and sustainably with all stakeholders, supported by our long-standing customer relationships and further enhanced by the new business wins we have secured this year."

Greencore said it now expects to generate an operating profit for the year of between £36m and £40m, versus previous guidance of of £32.5m