Group sales jumped 5.1% for the period, but fell on a like-for-like basis, with trading performance "stable"
Companies: Crawshaw Group
AIM-listed butchers group Crawshaw released an upbeat trading update on Wednesday despite LFL sales falling a further 4.5% in the first 20 weeks of the year.
Group sales jumped 5.1% for the period, but fell on a like-for-like basis, with trading performance "stable" following successful initiatives introduced across the business.
Shares in Crawshaw fell 14% early on Wednesday on the news, adding to the substantial declines the stock has seen since last year's profit warnings started. It is now trading at 68% below its September 2016 highs.
The company said it had opened an additional standalone fresh meat factory which, along with the two opened in FY17, is trading in-line with expectations. The Group plans to open four new shops in the current financial year.
CEO Noel Collett said he was pleased with the progress made and the stability achieved in the core business in tough trading conditions:
"...against the current backdrop of industry-wide cost pressures and a challenging consumer environment... our new fresh meat factory shops continue to perform well, and we are further encouraged by our most recent opening at Crystal Peaks, Sheffield. Our strategic focus for the rest of this year will be to open four more fresh meat factory shops and to ensure that we are maximising the customer and financial benefits of the new supply partnership across the estate."
Mr Collett also welcomed Jim McCarthy as the company's new Chairman following the departure of Richard Rose.
