Shares in Greencore Group PLC (LSE:GNC) are being gobbled up this morning, rising over 15% to 79.45p, after the convenience food manufacturer said profits for its recently completed financial year came in comfortably ahead of market expectations.
It also plans to restart its share buyback programme as part of the £50 million return of capital to shareholders it announced last year, of which £35 million has been completed so far.
For the past year to 30 September 2023, revenue rose 13% on a pro-forma basis, despite slowing to 4% in the fourth quarter.
However, adjusted operating profit is expected to range between £74 million and £76 million, compared to a current market consensus forecast of £70.1 million.
Chief executive Dalton Philips said it was "a strong second-half performance in what was a difficult seasonal comparative period and against the backdrop of inflation and a challenging consumer environment".
Net debt was cut to roughly £155 million from £180 million a year ago.