Shares in The Real Good Food Co. dropped today (4 February) after the UK food group reported “mixed” trading in its third quarter as a fall in prices hit its sugar business.
The company said three of its four divisions – Renshaw, R&W Scott and Haydens – saw EBITDA increase in the three months to the end of December.
Go deeper with GlobalData
However, it said its Napier Brown sugar arm “continued to be affected by the well-publicised dramatic reduction in sugar market prices”.
Nevertheless, the group said it had secured “a number of new supply sources” and insisted: “We see sugar margins being fully restored during the course of 2014.”
Executive chairman Pieter Totté said Real Good Food Co.’s moves to make its business “market-led” were “bearing fruit”.
He added: “Volumes are showing good growth in Napier, Renshaw and at Haydens, while we have now recruited sales and marketing teams to deliver similar momentum at R&W Scott and Garrett Ingredients. The instability in the sugar market is giving us short term challenges but our strategic plans in this market remain sound.”
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataThe company, meanwhile, announced the appointment of former British Sugar MD Gino De Jaegher as its new COO.
Shares in Real Good Food Co. were down 4.22% at 62.5p at 10:49 GMT.
