Celebration cakes sales continue to fall at Finsbury Food Group as consumers opt to trade down. Group revenue for the cake, bread and morning goods manufacturer has fallen by 4.1% to £168.3m for the financial year to 30 June 2010, after adjustments for the 53-week year.
Sales in its cake division were down 9.7% compared with the previous year, due to consumers seeking better value products, and increasingly choosing products on promotion. Despite this trend, the firm announced its Thorntons branded cake sales were up 5.2% year-on-year, in its trading update, today.
Its bread and free-from division saw more positive sales figures, with growth of 9.3%, which the firm put down to the combined success of the national roll-out of the Genius free-from fresh bread brand, and the previous year’s acquisition of Goswells speciality breads.
“We have performed in line with management expectations and when we emerge from this recession we will be competitively stronger and better positioned for growth as consumers seek higher-quality products that taste great,” commented chief executive John Duffy.