The UK's largest food manufacturer Premier Foods said first quarter results were in line with company expectations despite the ongoing challenging consumer environment.
"It continues to be very challenging and our focus for 2012 remains unchanged; to stabilise the business and invest in our recovery," it said in a company statement.
The group, behind household favourites such as Hovis, Ambrosia and Mr Kipling, said group sales rose 1.3% to £427m for the three months ending 31 March 2012 and Power Brand sales increased 3.7%.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Full year expectations remain unchanged and cost reduction & restructuring programme on track.
Chief executive officer Michael Clarke said, "We are driving sustainable sales and improving market shares by focusing investment behind our eight Power Brands, improving customer collaboration and reducing costs."
Clarke said the group has a solid programme in the second quarter to support Power Brands sales including further advertising, targeted promotions and new product innovation such as the Hovis Farmer's Loaf, Batchelors Deli-Box, Ambrosia rice snack pots and a limited edition range of Mr.Kipling cakes celebrating the Queen's Diamond Jubilee.
Bitcoin hits new heights - is now a good time to invest?
The value of Bitcoin has surged to a 20-month high. Why is Bitcoin rising and is now a good time to invest?
By Vaishali Varu Published
Gold hits record high - could it soar higher next year?
The yellow metal has hit a new all-time high. We look at market expectations for 2024, whether investors should sell and take profits, and how to invest in gold.
By Ruth Emery Published