(Alliance News) - Real Good Food PLC on Tuesday said ahead of its annual general meeting it has been trading well in the run up to Christmas, and is seeing benefits from its recent "radical" reform programme.
Shares in Real Good Food climbed 66% to 1.99 pence each in London on Tuesday morning.
This comes as the Liverpool, England-based food manufacturer said in the third quarter of its financial year ending March 31 said it expects a 6% rise in its October revenue to GBP4.6 million. In the first six months to September 30, revenue grew slightly by 1.3% to GBP16.1 million from GBP15.9 million in the corresponding half a year ago, despite a 10% drop in its volumes, the compay added.
This comes after the Real Good Food initiated a programme last year to return to profitability and to ensure sustainable profits.
Loss before interest, tax, depreciation and amortisation in the half year was just GBP700,000, narrowed from GBP2.3 million a year prior.
Looking ahead, Real Good Food said it now expects positive Ebitda of GBP1.0 million for all of financial 2024, which would be a "significant turnaround" from the loss of GBP5.8 million in financial 2023.
"We have made substantial progress since this time last year when the group was really struggling," said Executive Chair Mike Holt.
Real Good Food on Tuesday also said it is in the process of finalising an agreement with Hilco Private Capital for a twelve-month extension to its loan agreement of GBP2.5 million secured last year.
By Sabrina Penty, Alliance News reporter
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