Ranjit Boparan has pledged to return Brookes Avana to profitability in the next two years.
He made the commitment as parent company Boparan Holdings posted revenues of £565m for the first quarter of its new financial year.
Boparan Holdings, which last year snapped up Northern Foods after winning a tussle with Greencore, saw like-for-like sales rise by 10% for the 13 weeks ended 29 October 2011.
Poulty sales were up 13.2% and chilled sales rose 9.6%, driven by product offering in ready meals, sandwiches and salads and chilled pizza. Branded sales rose 4.2% thanks to growth in frozen, aided by a new advertising push for Goodfella’s pizza.
Boparan said Brookes Avana, which he bought from Premier Foods in December for £30m, had a good track record of delivering high-quality products for its customers.
“We believe that with our strong customer relationships, focus on cost and Brookes Avana’s high-quality heritage, we can return the business to profitability over the next 12-24 months,” he said ina statement.
Despite wider economic challenges and continued pressures from commodity and other input costs, the company said it expected to post a solid trading performance in the second quarter.
“With a strong sales momentum in the first quarter, we remain in a good position to grow our business over the year.”