StockMarketWire.com - Specialty Bakery group Finsbury Food scrapped its final dividend and reported a slump in profit as the pandemic hurt sales to foodservice and out of home eating businesses.

For the 52 week ended 27 June 2020, pre-tax profit fell £2.9m from £13.6m on-year as revenue fell to £306K from £315K.

'The reduction in sales to the foodservice / out of home eating starting 23 March is the primary driver behind the reduction in second half group revenue, the company said.

The company said it had decided not to propose a final dividend in amid continued uncertainty surrounding the pandemic and Brexit, but said it would consider reinstating a dividend for fisal 2021.

'The first three quarters of the financial year saw the group perform in line with market expectations .. but the outbreak of Covid-19 'saw unprecedented demand swings and resulted in a challenging period for the group...' the company said.

Sales had continued to improve month-on-month in the first two months of the new financial year, though the company said visibility remained impaired owing to the ongoing pandemic.

'The outlook now versus where it was when the pandemic first took hold is much improved, but with market volatility likely to persist, it remains difficult to predict with any accuracy the rate at which the recovery will take place,' it added.






At 8:46am: [LON:FIF] Finsbury Food Group PLC share price was -1p at 56p



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