Food ingredients business Real Good Food PLC (LON:RGD) said sales grew 8% year-on-year in the fiscal third quarter, which includes the important Christmas trading period.
The company remains confident that full year revenue and underlying earnings (EBITDA) will be in line with expectations, though the company noted it is not immune from the impact of higher commodity prices, which has been hitting margins.
The cost of butter, in particular, more than doubled in price, just ahead of the Christmas period, which in terms of timing was unfortunate.
Real Good Food has now implemented targeted price increases and expects margins to be largely restored by the start of the next financial year.