Price cuts: Mr Kipling maker Premier Foods has raised its profit forecast
Mr Kipling maker Premier Foods has raised its profit forecast and said easing costs meant it will cut prices of some popular products.
Chief executive Alex Whitehouse explained that major brands including Mr Kipling and Batchelors were back to the prices of summer last year.
He added that the company was looking at more price reductions in the coming months.
Like other companies, Premier Foods put up prices as the cost of doing business soared in the face of higher energy bills and rising employee wages.
‘We know how challenging the past year has been for many consumers and so it’s good to see the rate of input cost inflation falling,’ said Whitehouse.
‘This has given us the opportunity to lower promotional prices across a number of major branded products such as Batchelors Super Noodles and Mr Kipling Slices.’
The firm said revenues soared 19.2 per cent to £484.4million in the six months to September 30, while profits rose 19 per cent to £67.5million.
It said it expected profits for the year to be around a tenth higher than last year, improving upon its previous guidance.
Shares rose 0.92 per cent or 1.2p to 132.2p.