Food group Greencore has said that provided the euro stays between 85 and 88 pence sterling, the group expects to deliver strong growth this year. In a trading update today, Greencore said it had a strong balance sheet and is well capitalised.
It added that the first three months of its financial year had seen a good underlying performance at its convenience foods division, with continued business revenue of €208.7m, up 7.6% on the same time the previous year.
Its two key categories - Food to Go and Prepared Meals - continued to see favourable trends and Greencore said their operating performance remaining strong.
But ingredients and packaging inflation is more pronounced and the group said it is managing this through a combination of selling price increases and cost reductions.
It added that its US business traded in line with expectations as it bought a new fresh sandwich business in December.
Greencore also said that it continues to recommend to shareholders that they back a proposed merger with Northern Foods. This faces a possible rival offer from food tycoon Ranjit Boparan, who owns the Harry Ramsden brand.
Greencore shares closed unchanged at €1.32 in Dublin.
