Greencore confident as CEO unveils new growth targets

(Sharecast News) - Convenience foods group Greencore outlined new financial targets on Wednesday, pointing to mid-single digit growth in revenues and profits over the medium term as it unveils a "refined strategic direction" at a shareholder meeting. Ahead of a capital market day in London, chief executive Dalton Philips is set to outline updated plans to grow the business, scale operations and take leading positions in attractive product categories.

The sandwich and snack maker, which operates 35 manufacturing and distribution facilities in the UK, pointed to "significant" further upside in the core business, and said it would also highlight opportunities to expand and grow into new areas, including through M&A.

"This Capital Markets Day is the Group's first since 2019 and during the event, we will provide details of our plan to further strengthen our core business, outline how we intend to grow and expand, including the role of M&A, and detail our approach to capital allocation and delivering shareholder returns," Philips said in a statement.

"As part of this plan, we are establishing a set of ambitious medium-term financial targets. We are confident in our ability to deliver these targets and believe this plan will benefit not just our shareholders but also our colleagues, customers and other partners."

Looking ahead, Greencore is targeting 3-5% revenue growth over the medium term and at least 7% growth in adjusted operating profit.

Shares were up 0.5% at 193p by 0855 GMT.