Zetar shows strong recovery

14 May – Confectionery and snack foods group Zetar says trading initiatives implemented during the year to end-April have resulted in strong recovery.

The Zetar board expects to report sales, adjusted profit before tax and adjusted earnings per share significantly ahead of last year and in line with market expectations.

In its pre-close trading statement, the company reports that confectionery sales were up 9% at £82 million, with Natural & Premium Snacks rising 11% to £49 million. Total sales rose 10% to £131 million.

Confectionery margins were maintained at similar levels to the previous year, despite a general increase in promotional activity and the weakness of sterling against the euro which affected the profitability of the group’s Irish business.

Snacks raw materials costs were less volatile during most of the year and the division’s margins recovered to longer-term target levels.