Demand for products like Oxo seasonings and Bisto gravy helped Premier Foods to report its first quarterly branded food sales gain in two years, sending its shares soaring by 16% in London trade today.
The company, which has stepped up its marketing spending, also cited the rollout of new products under its Loyd Grossman and Sharwood sauce brands and Mr Kipling and Cadbury cake labels.
Its shares enjoyed their biggest one-day gain in four years, after Premier reported a 1.6% rise in branded food sales in the quarter to October 3.
It forecast a similar gain, of between 1-2%, for the 2016/2017 fiscal year as well.
"The big news is that we're growing for the first time in a couple years and we're guiding that we'll continue to grow," the company's chief executive Gavin Darby said.
Overall, revenue rose 2.4% to £175m in the quarter, well above the estimates of some analysts, who had forecast a 0.4% decline.
Premier stuck to its full-year profit expectations, saying that while sales will rise, profit will be flat due to increased marketing spending.
As part of this, Premier is planning a trial of its Mr Kipling cakes in 250 US supermarkets later this year.
The company also announced a new brand, Paul Hollywood premium baking mixes, which analysts said showed a growing ability to capitalise on consumer trends.
Hollywood is one of the judges on the popular BBC TV show "The Great British Bakeoff".
