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Vimto owner Nichols saw profits jump 16% last year as it pursued a strategic shift across Africa to sell more concentrate.
The concentrate model is lower revenue but higher margin, said Nichols, and meant revenue grew by a more modest 1.2% to £172.8m in the year to 31 December.
Its international business also benefitted from volume growth in core markets in the Middle East during Ramadan, and strategic expansion into Malaysia in the final months of the year.
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Morning update
Domino’s Pizza recovered from a slow start last year to deliver a marginal rise in UK sales.
After downgrading guidance off the back of falling sales in the first half of the year, Domino’s saw system sales for the full year grow 2% to £1.57bn.
This was led by opening 54 new stores to bring its total to 1,372 as it pursues an ambitious expansion across the UK. It is targeting more than 1,600 stores by 2028 and 2,000 stores by 2033 in the UK and Ireland.
In August, the FTSE 250 firm triggered a stock market sell-off after downgrading its EBITDA forecasts for the full year to be “towards the lower end” of the £144.3m to £149.2m range of analysts’ forecasts.
This was borne out with underlying EBITDA coming in at £143.4m, up 8.4% on the year before.
CEO Andrew Rennie said the results showed the benefits of the company’s long-term strategy. “We’ve capitalised on our competitive strengths, agreed a new five-year framework with our franchise partners and opened 54 stores,” he said.
“Our trading momentum accelerated as the year progressed, our delivery channel returned to growth and we delivered strong underlying earnings growth.”
Domino’s said that while the economic environment remains uncertain, in the first 10 weeks of the year it grew total system sales by 2.4%, with order numbers up 0.7%.
The company named Ian Bull as its new chair, replacing Matt Shattock.
Property investor Supermarket Income REIT saw profits rise again last year as it benefitted from further rent increases on its supermarket clients.
Operating profits were up 12% to £50.3m in the six months to 31 December, thanks to an average 3% rental hike during the period.
It meant total rental income was up 13% to £118.5m, boosted by of the acquisition of more sites.
“I am pleased with the progress we have made on the strategic initiatives announced in November 2024,” said CEO Nick Hewson.
“We have already delivered on a number of these objectives with the sale of Tesco Newmarket above book value, the renewals of our three shortest lease assets at rental levels materially ahead of our valuer’s [estimated rental value], and the acquisition of earnings-enhancing assets in the UK and France.”
Last week, the fund also put forward proposals to internalise its management function, which it claims will save around £4m per year.
It sold Tesco Newmarket last month for £63.5m, 7.4% above prevailing book value, it said.
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