The Real Good Food Company plc is a diversified food group which owns Napier Brown (Europe's biggest non-refining sugar distributor), Garrett Ingredients (dairy ingredients and sugar), Renshaw (icings, marzipan and caramels), R&W Scott (chocolate coatings and jams) and Haydens Bakery (patisserie and desserts).
The Real Good Food Company (LON:RGD) said it is now seeing the benefits of its self-help programme coming through as it posted a strong set of interim results.
And according to chairman Pieter Totté the strong performance means the business is on course to double its size in the next three years.
Continuing profit for the period before significant items grew to £4.6 million in the six months to December 31 from £3.5 million in the comparable period last year.
The group, which is changing its accounting year-end to March 31, also posted results for calendar 2011. They revealed an even more striking improvement in profitability to £5.7 million from £2.3 million previously. Revenues jumped sharply to £249 million from £200.1 million in the 12 month period.
The Napier Brown sugar arm and the food ingredient businesses Garrett and Renshaw increased their earnings.
Haydens, the bakery operation, was affected by increased commodity costs that weren't recovered in pricing until late in the year, the company said.
Chairman Totté said: "We have a clear growth plan. Our strategic focus is on creating solid sustainable profitability based on self-help initiatives including brand development, sales growth and risk management.
“We are now seeing significant benefits coming through from this.
“We are also benefitting from our adjustment to the structural development in market supply affecting our biggest business, sugar, in which we moved from a surplus market to a deficit market, with associated higher prices and the need to secure surety of supply.
“I am extremely pleased that the progress we have made is reflected in a significant improvement in our financial performance during 2011.
“With trading starting positively in January, and divisional management achieving further progress in their improvement programmes, I am confident of meeting our expectations for 2012, and of remaining on track to achieve our aspiration of doubling the size of the business within three years."