ABF's Grocery Business Performing Well Whilst Primark Faces

ABF's Grocery Business Performing Well Whilst Primark Faces Huge Hit To Sales


25th February 2021
In a pre-close trading update for its first-half period, Associated British Foods (ABF) said revenue and profit in each of its Grocery, Sugar, Agriculture and Ingredients businesses will come in ahead of both expectations and last year. However, this will be dragged back by its Primark clothing chain which has been hit hard by the pandemic-related closure of its stores in the UK and Europe in recent months.
Revenue in its Grocery division is expected to be 7% ahead of last year with adjusted operating profit growth after “strong performances” by its Twinings Ovaltine and UK grocery businesses. The performance of Twinings Ovaltine was said to have reflected the changes in consumption patterns as a result of the pandemic. Retail and online sales increased but on-the-go and foodservice volumes continued to be adversely affected.

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