GREENCORE yesterday announced it has struck a $50m (£30m) deal to supply Starbucks’ stores in the US, as the food group revealed a 21 per cent rise in full-year profits.
The Dublin-based group said the partnership will see it produce sandwiches for all of the coffee giant’s east coast stores except Manhattan, a major coup for the company that first broke into the US market four years ago.
It has stepped up its presence this year with the acquisitions of Marketfare, one of the biggest suppliers to 7-Eleven stores, as well as food manufacturer Shau & Sons, and the US now delivers annualised sales of over $200m.
Announcing its results for the year to 28 September, Greencore said overall revenues jumped 45 per cent to £1.16bn, driven by its acquisition of desserts-maker Uniq.
Stripping out the Uniq deal and other acquisitions, sales rose 7.7 per cent while pre-tax profits before exceptional items rose to £42.8m.
Chief executive Patrick Coveney called it “a breakthrough year” for the group. “The acquisition of Uniq has reshaped the performance, scale, capability and long-term prospects of our group,” he said.
Greencore supplies prepared meals, sandwiches, soups, pickles and sauces to supermarkets and retailers including Tesco, Asda, WH Smith and Boots and has a market value of £356m.