Premier Foods sales jump as shoppers embrace new Mr Kipling, OXO and Angel Delight launches

Premier Foods (LSE: PFD) kicked off the day as one of the strongest performers in the UK market after reporting faster sales growth in its latest quarter, helped by a strong Christmas season and a busy pipeline of new products. The company—best known for household brands like Mr Kipling, OXO, Ambrosia, Paxo, and Angel Delight—said momentum improved in the 13-week period leading into the festive stretch, and it now expects full-year trading profit to land at the upper end of its guidance range.

This rewritten report breaks down what happened, why it matters, and what it could mean next—using clear, investor-friendly language while staying close to the key facts from the company’s update and market coverage.

What Premier Foods reported (the headline numbers)

Sales growth accelerated in the latest quarter

In the most recent quarter, Premier Foods said:

• Group sales rose 4.1%
• Branded revenue increased 5.2%
• The business gained market share in both grocery and sweet treats

Those points matter because branded sales and market share are often the clearest signs of a food company’s strength. If shoppers pick your brands even when budgets are tight, you usually have pricing power, loyal customers, and good shelf space in supermarkets.

“A really good Christmas” and improving international performance

Chief executive Alex Whitehouse described trading over Christmas as very strong. He also said international revenue returned to double-digit growth, with particularly good performances in Australia and the United States.

Profit outlook nudged higher within guidance

Premier Foods said it expects full-year trading profit to come in at the top end of its guidance range of £193 million to £198.2 million. This kind of statement often signals management is confident about margins, costs, and demand—especially important after a major holiday season when promotions and logistics can squeeze profit if things go wrong.

Why new products were a big driver this time

Innovation helped brands stay exciting

Premier Foods highlighted “particularly strong” innovation, pointing to new or refreshed product ideas that shoppers have been quick to try. Examples mentioned included:

• OXO bone broth (aimed at richer cooking flavor and modern “better-for-you” trends)
• Paxo stuffing wreath (a festive twist designed for Christmas tables)
• Angel Delight bubble jelly (a playful dessert concept that stands out)
• Mr Kipling cake bites tubs (snack-style convenience for sharing and treating)

The important point isn’t just that these products exist—it’s that they were released at the right time, in the right categories, and with enough marketing and distribution to show up in results. When a legacy food company keeps refreshing well-known brands, it can defend shelf space against supermarket own-label ranges and newer challenger brands.

Premium products held up, suggesting “trade up” behavior

Premier Foods said some premium lines outperformed, including:

• Ambrosia Deluxe
• The Spice Tailor
• Mr Kipling Signature mince pies

That supports a common holiday pattern: even if people save money in some areas, they’ll still spend extra on small “treats” and special-occasion food around Christmas. For food producers, premium products can be especially valuable because they often carry better margins than basic lines.

How “new categories” and acquisitions are changing Premier Foods

New category sales jumped strongly

Premier Foods said new category sales grew 29%, helped by expanding lines such as FUEL10K yogurt and granola. This matters because “new categories” can reduce reliance on mature parts of the grocery aisle. In plain terms: it’s easier to grow faster when you’re building in newer spaces where consumer habits are changing, like high-protein snacks, convenient breakfast solutions, or modern meal kits.

Acquired brands delivered double-digit growth

The CEO said Premier Foods grew all of its acquired brands by double digits, including its most recent acquisition Merchant Gourmet. He credited stronger distribution, better marketing, and added innovation. The logic is straightforward:

1. Premier buys (or partners with) a brand that already has a loyal following.
2. It uses its existing supermarket relationships to widen distribution.
3. It invests in brand building and launches new products.
4. Sales rise as the brand becomes easier to find and more visible.

If this “playbook” keeps working, it can become a repeatable growth engine—especially when the core grocery market is competitive and shoppers are price sensitive.

What the market reaction suggests

Why the shares moved

Investors typically like three things in a trading update:

• Acceleration (growth getting better, not worse)
• Confidence (profit guidance leaning to the upper end)
• Clear reasons why (innovation, premium strength, international improvement)

This update had all three. That helps explain why the stock was highlighted as a top performer in the morning session when the news hit.

What analysts and brokers pointed to

One broker comment mentioned that the shares looked attractively valued based on forecast earnings and EV/EBITDA multiples. While valuations can change quickly with share prices and forecasts, the takeaway is that some market watchers viewed the company’s performance as stronger than what the share price may have been implying.

The bigger picture: why this update matters in 2026

Consumers are picky, but they still want treats

Food inflation and higher living costs can make shoppers hunt for deals. Yet the Christmas period often brings a “little luxury” mindset—people may cut back on big purchases, but still spend on festive food, desserts, and special meals at home. This update suggests Premier Foods benefited from that behavior, especially with premium lines and seasonal products.

Strong brands can win even in tough conditions

Premier Foods owns many brands that have been in UK kitchens for decades. That history gives it an advantage: familiarity. But the company still has to earn its place on shelves every week. The update indicates it did so by mixing:

• Classic brands (trusted household names)
• Fresh formats (bites, tubs, twists, limited-time ideas)
• Premium options (for shoppers willing to trade up)
• Modern health and convenience cues (like bone broth and protein-forward categories)

Deep dive: brand-by-brand signals (what each launch may tell us)

Mr Kipling: protecting leadership in sweet treats

Mr Kipling is a major name in cakes and sweet baked goods. New product formats—like cake bites tubs—can do three jobs at once:

• Make the brand feel current for younger shoppers.
• Create convenient “sharing” packs for family occasions.
• Encourage impulse purchases, especially during holidays.

When sweet treats are under pressure from healthier snack trends, clever formats can keep demand steady without relying only on discounts.

OXO: expanding beyond the old-school stock cube image

OXO is famous for stock cubes, but “bone broth” is positioned differently—often linked to richer flavor and protein-led lifestyles. That helps OXO reach shoppers looking for modern cooking shortcuts. It’s also a smart way to keep the brand relevant in a world where recipes and trends spread fast on social media.

Angel Delight: fun matters in desserts

Angel Delight is built on nostalgia and simplicity. A “bubble jelly” concept keeps that fun identity while offering something that looks different in a crowded dessert aisle. For families, novelty can be as important as price—especially for products aimed at kids and celebrations.

Paxo: seasonal strength that can extend beyond Christmas

Paxo is a key name in stuffing and roast dinner sides. A “stuffing wreath” is clearly holiday-themed, and that matters because seasonal products can generate a sharp burst of sales in a short window. If the idea catches on, it can become a repeat Christmas feature, helping Premier Foods plan production and promotions more efficiently each year.

International growth: why Australia and the US were highlighted

Premier Foods pointed to improved overseas growth, including strong performances in Australia and the US. For a UK food group, international momentum can be valuable because it:

• Reduces reliance on UK supermarket competition.
• Spreads risk across different consumer cycles.
• Gives brands longer runways for growth if distribution expands.

In practical terms, international growth often depends on the right partners, retail listings, and local tastes. Returning to double-digit overseas growth suggests Premier Foods is making progress on those building blocks.

What to watch next (simple checklist)

1) Can growth stay strong after Christmas?

Christmas is a peak period for sweet treats and festive foods. Investors will watch whether growth stays resilient into the quieter months, when people focus more on budgets and health goals.

2) Will premium demand remain steady?

Premium lines performed well during the festive season. The key question is whether that “trade up” behavior continues when celebrations end.

3) How fast can new categories scale?

New categories grew strongly, helped by brands like FUEL10K. The next test is whether Premier Foods can keep expanding distribution and repeat purchase rates without heavy discounting.

4) Are acquisitions continuing to deliver?

Merchant Gourmet and other acquired brands posted double-digit growth, according to management. Investors will look for ongoing proof in future updates—especially that growth is profitable, not just volume-led.

5) Costs, margins, and supply chain discipline

Food companies can grow sales and still disappoint if costs rise faster than prices. That’s why the “upper end of profit guidance” comment is important—it suggests Premier Foods believes it can balance growth with cost control.

How this fits into an SEO-friendly investor narrative

If you’re reading this as an investor, student, or business follower, here’s the simplest “story” you can take away:

1. Premier Foods improved sales growth in a key quarter.
2. Brands gained market share, which signals strength at the shelf.
3. Innovation worked, keeping legacy brands fresh.
4. Premium lines held up, helping margins and brand value.
5. International growth improved, adding another engine.
6. Profit guidance moved to the top end, showing confidence.

For readers who want to explore the company directly, you can also check Premier Foods’ corporate updates here:Premier Foods News & Updates.

(Link provided for official company announcements and background.)

FAQs

1) What did Premier Foods report in the latest quarter?

Premier Foods said group sales rose 4.1% and branded revenue increased 5.2%, alongside market share gains in grocery and sweet treats.

2) Why was Christmas so important to the update?

Christmas is a major selling season for sweet treats, premium foods, and festive meal products. The CEO said the company had a “really good Christmas,” and that helped lift confidence on full-year profit expectations.

3) Which new products were highlighted?

The company pointed to innovation such as OXO bone broth, a Paxo stuffing wreath, Angel Delight bubble jelly, and Mr Kipling cake bites tubs.

4) What happened to Premier Foods’ profit guidance?

Premier Foods said it expects trading profit to be at the upper end of its guidance range of £193 million to £198.2 million.

5) Why does market share matter in grocery?

Market share gains usually mean a company is selling more than rivals in the same categories. It can signal strong branding, good product mix, effective promotion, and reliable distribution.

6) What should investors watch in the next update?

Key watch items include whether sales stay strong after Christmas, whether premium demand holds up, whether new categories keep scaling, and whether profit margins remain healthy as costs change.

Conclusion

Premier Foods delivered a confident quarterly update built on three pillars: faster sales growth, successful innovation, and strong festive demand. With branded revenue up, market share moving in the right direction, and management pointing to the upper end of profit expectations, the update paints a picture of a business that’s executing well in a competitive supermarket world.

Still, the next chapter matters: investors will want to see whether this strength continues beyond the holiday bump, and whether international growth and new-category expansion can keep powering results through the rest of the year.

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