Greencore PLC (LON:GNC) has seen its weekly sales drop by 70% in some areas since the end of March, the convenience food maker revealed today as it posted half-year results.
The group's food-to-go categories have been worse affected with sales currently running almost two-thirds behind last year as the coronavirus (COVID-19) lockdown impacts.
Overall, Greencore said revenues were down 40% on a year ago, though there have been pockets of growth, with cooking sauces, notably, having seen a 5% rise.
In response, Greencore has temporarily shut its facilities at Bow, Atherstone and Heathrow, and has rationalised production at its Northampton site.
A substantial proportion of its staff have been furloughed, said the FTSE 250-listed group, while senior staff have taken pay reductions.
As a result of these actions, Greencore said it has returned to modestly positive underlying profits (EBITDA).
In the results statement, Patrick Coveney, Greencore chief executive officer said: “We have implemented a broad range of actions to mitigate the impact of COVID-19 on our business and to position us for growth as the pandemic eases.”
Greencore added it had cash and undrawn committed bank facilities of £267.5mln as at March 27, 2020, which includes a newly agreed £75mln debt facility.
The group's revenues in the six months to March 27 rose by 1.6% to £712.7mln, while adjusted profits were 18% lower at £31.1mln.