Associated British Foods’ multiple facets rarely shine through, such is the proliferation of the cut-price retailer Primark across the nation’s high streets.
In a time of rampant food price inflation, however, the FTSE 100 group’s grocery and ingredients businesses have proved their worth for shareholders. Growth in food sales, which equate to just over half the group total, came in at a better-than-expected 18 per cent during the third quarter.
The result? Adjusted operating profits this year are expected to be “moderately” higher than last year, rather than stagnant, thanks to a better performance from its food operations, where it has managed to recover more of the cost inflation suffered over the past 18 months. Analysts at Shore Capital have upgraded their forecasts for profit
