(Alliance News) - Food packaging firm Hilton Food Group PLC on Thursday said its annual performance topped board expectations, benefiting from Covid-19 lockdowns putting a stop to out-of-home dining.
Hilton Food shares were 6.2% higher at 1,200.00 pence each in London on Thursday morning.
In the 53 weeks ended January 3, Hilton Food saw "strong year-on-year sales and volume growth". This was helped by its "own expansion as well as the shift to home consumption arising from the Covid-19 pandemic".
"In Europe, we have continued to make good progress in a number of markets, benefiting from consumers eating out less often due to the ongoing impact of Covid-19. Turnover in the UK is therefore higher and driven predominantly by red meat and fish volumes," Hilton Food added.
Revenue growth continued in both Sweden and Denmark, where Hilton Food is now packaging chicken. In the Netherlands, it benefited from higher red meat volumes and increases in vegetarian and vegan products.
Central European volumes "have remained buoyant", with Hilton Food citing its work with UK grocer Tesco PLC and Polish chain Zabka.
Across the globe, the Huntingdon, England-based company rolled out production from a site in Queensland, Australia and boosted volumes to its targeted level. Hilton Food noted that Covid-19 restrictions in the Australian state of Victoria, "have largely been lifted".
"The development of the New Zealand facility is still on track to open in the third quarter of 2021," Hilton added.
"Hilton's trading outlook remains positive, with growth prospects underpinned by the expansion plans previously announced covering Belgium and New Zealand, as well as further opportunities arising across our markets."
By Eric Cunha; ericcunha@alliancenews.com
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Tesco (TSCO)
Hilton Foods (HFG)
