Sugar outlook takes shine off jump in AB Foods earnings
Shares fall up to 4.5 pct (Adds CEO, analyst comment, shares)
By James Davey
LONDON, Nov 7 (Reuters) Associated British Foods cautioned canada goose store on Tuesday that sugar profits uk canada goose outlet would fall this year, hurt by lower European Union prices, Canada Goose Outlet taking the shine off a 20 percent jump in the group 2016 17 earnings.
Shares canada goose clearance sale in AB Foods, which also owns the Primark fashion chain Canada Goose Parka and major grocery, agriculture and ingredients businesses, fell as much as 4.5 percent as the outlook for sugar outweighed what was otherwise a strong set of results.
expect the profits of Canada Goose Coats On Sale sugar to come down in the current year, Chief Executive George Weston told Reuters.
He said although canada goose coats on sale the sugar business uk canada goose would benefit from higher volumes and lower costs in 2017 18, that would not be enough to offset the effect of much lower EU prices.
Some analysts also said sentiment was dented by Primark move to reduce the size of three stores in its Canada Goose Online key growth market, the United States.
The group as a whole expects earnings progress in the 2017 18 year.
AB Foods reported adjusted operating profit for sugar of 223 million pounds ($293.3 million) in 2016 canada goose black friday sale 17, a more than five fold increase on the previous year.
That outcome and strong growth at Primark drove group adjusted earnings per share (EPS) for the year to canada goose factory sale Sept. 16 of 127.1 pence ahead of analysts average forecast of 125.7 pence, according to Reuters data, and 106.2 pence made in 2015 16.
Group revenue rose 15 percent to 15.4 billion pounds, while adjusted operating profit was 1.36 billion pounds, up 22 percent, with Primark contributing 735 million pounds. The group dividend rose 12 canada goose clearance percent to 41 pence and it ended my website the year with net cash of 673 million pounds.
Prior to Tuesday update shares in AB Foods, majority owned by Weston family, had increased 35 percent over canada goose coats the last year.
our view valuation is canada goose uk black friday catching up Canada Goose sale with events, said Investec analyst Alistair Davies, who put his stance under review.
Weston said Primark like for like sales were positive in the buy canada goose jacket cheap first seven weeks of the new financial year, bucking the trend of the wider market.
An industry survey published on canada goose uk shop Tuesday showed UK retail spending fell last month at the fastest pace for any October since 2008 buy canada goose jacket as consumers curbed purchases of non food goods in the face of rising inflation.
Department store chain John Lewis has posted six canada goose uk outlet straight canadagoose-coats weeks of sales declines, while clothing retailer Next missed analysts quarterly forecasts.
Weston sees potential benefits to AB Foods from post Brexit Canada Goose online changes in legislation, trade agreements and cheap canada goose uk UK canada goose agricultural policy. But he said the group shared the concern of other canadian goose jacket businesses about the risk cheap Canada Goose of abrupt changes to the UK customs procedures.
He said he Canada Goose Jackets would welcome a lengthy transition period beyond March 2019. ($1 = 0.7605 pounds) (Reporting by James Davey Editing by Paul Sandle/Jeremy Gaunt).