Fresh prepared food and produce company, Geest, announced sales growth of 7% and a turnover of £458.8m in the 26 weeks ending July 3.
The company reported that efficiency programmes had helped maintain margins against retailer price pressures, despite a tough UK food retail trading environment.
Pre-tax profits declined by 16.4% to £13.3m, which the company said was partly attributable to sales losses caused by Morrisons’ acquisition of Safeway. Commenting on the interim results, chairman Sir John Banham said: “We continue to see strong consumer growth for fresh prepared foods. However, the UK trading environment for food retailers continues to be challenging and has created increasingly turbulent trading conditions for suppliers, which are affecting our results this year.
“We have responded by improving operational efficiencies and developing new revenue systems.”