Half Year Profits At ABF Jump 35%

Associated British Foods (ABF) has reported that its pre-tax profits jumped by 35% to £624m in the 24 weeks to 4 March, on revenues that climbed 19% to £7.3bn. Headline figures were boosted by good performance in its sugar, grocery and Primark businesses, as well as increased contributions from its overseas units due to the weakened value of sterling.

ABF said it benefited to the tune of £51m from the collapse of the pound following last year’s referendum vote. However, on constant rates, the group’s the underlying growth was still good with revenues up 7% and adjusted operating profit increasing 23%.

George Weston, Chief Executive of Associated British Foods, said: “The underlying growth of the group at constant currency was strong in the first half.  Primark delivered a substantial increase in selling space which, together with its strong consumer offering, contributed to a further increase in our share of the total clothing market.  Furthermore, we achieved a more acceptable rate of return in Sugar and further good progress was made by our Ingredients and grocery businesses.”

Download the full interim results statement here