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The Markets
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Coverage of London’s small caps continues on proactiveinvestors.com
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The Markets
by Proactive
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The Markets
by Proactive
Proactive UK has moved.
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Food & drink

AB Foods reassures with nothing new

The “small reduction” was due to weaker sterling on purchases offset by cost reductions in both the cost of goods and overheads

Associated British Foods PLC (LON:ABF) reassured investors by reiterating its outlook for the full year of some progress in group earnings despite a small drop in profit margins for fast-fashion behemoth Primark as it continues to add more shops overseas.

Ahead of its annual shareholder meeting, the FTSE 100-listed conglomerate said Primark had opened three new sites in France and Spain since the last period ended in mid-September.

READ: AB Foods sees strong profit growth from its Grocery and Primark divisions

Management repeated guidance as indicated in the annual results a month ago almost word for word, with strong profit growth in the grocery and sugar divisions and all businesses ready for Brexit

AB Foods' shares were up 1.5% to 2,535p in early trading on Friday, continuing recent progress after a rollercoaster couple of years that has left them around a quarter off their highs of late 2015.

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