Trading Statement
January 08 2004 - 2:00AM
UK Regulatory
RNS Number:9838T
Big Food Group PLC
08 January 2004
8 January 2004
The Big Food Group plc
Third Quarter Trading Statement
The Big Food Group announces today its third quarter trading statement of the
2003/04 reporting year. This covers the thirteen weeks to 26 December 2003 and
the five week Christmas trading period to 2 January 2004.
Introduction
The Group continues to make steady progress during the year with like for like
sales measures positive for consecutive quarters for all of our operations.
Sales
Like for like sales for the thirteen week period to 26 December 2003 and the
five week period to 2 January 2004 were as follows:
Thirteen Weeks Five Weeks
% %
Group 2.0 3.2
Booker 1.6 3.0
- tobacco 3.2 5.6
- non tobacco 0.6 1.5
Woodward 32.8 36.2
Iceland 1.2 1.9
At Iceland, the customer driven promotional strategy has continued to show
improvements with above average growth coming from the grocery and fresh produce
categories as the new concept store strategy accelerates. A total of 26 stores
were refurbished in the thirteen weeks bringing the total number of new concept
stores to 119. The support services necessary to increase the conversion rate
to 200 stores in the next financial year are now in place. Overall gross
margins have been maintained year on year. Christmas trading benefited from
better availability this year of our very successful Party Fayre range and our
exceptional #10 Christmas Dinner Meal Deal.
At Booker, the generally tougher trading environment was compensated for by drop
shipment sales and promotional activity in alcohol. Sales through independent
retailers were again slower this year reflecting the strength of price
discounting by the major multiples at seasonal times. Gross margins of non
tobacco products held up across the quarter but were weaker over the Christmas
period. Tobacco sales were much improved against a disappointing period last
year. At the end of the quarter there were 1364 customers operating under the
Premier fascia.
Woodward Foodservice showed accelerating sales growth over previous quarters as
the benefits from new customer accounts are realised.
Net Debt
Average net debt for the thirty nine weeks to 26 December 2003 was approximately
#238 million.
Management Announcement
After two years with The Big Food Group Mike Coupe, the Managing Director of
Iceland, has decided that his longer term future is outside the Group. He has
presided over an enormous amount of change at Iceland and will continue as its
Managing Director until early September whilst a search for his successor takes
place.
Commenting on the announcement Chief Executive Bill Grimsey said "The trading
environment remains tough, but we are gaining sales momentum from our own
actions. The sale of Londis would present an opportunity for us to serve
another group of independent retailers by bringing our scale and expertise to
help them to succeed."
The Big Food Group
Bill Grimsey - Chief Executive Tel: 020 7796 4133 on 8 January only
Bill Hoskins - Finance Director Thereafter Tel: 01933 371 148
David Sawday - Corporate Affairs
Hudson Sandler
Andrew Hayes Tel: 020 7796 4133
Noemie de Andia
This information is provided by RNS
The company news service from the London Stock Exchange
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