
Bakkavor Group plc (LSE:BAKK) posted a solid start to the year, reporting a 3.9% increase in like-for-like revenue for the first quarter of 2025. Growth was fueled by increased international volumes and effective pricing strategies in the UK market. Encouraged by this strong performance, the company has revised its full-year profit guidance upward, reflecting growing confidence in easing inflation and operational efficiencies across key regions.
Strategically, Bakkavor continues to streamline its business, most notably with the divestment of its operations in Hong Kong and mainland China. This move is part of a broader effort to sharpen its focus on core markets and drive profitability through simplification and targeted investment.
Despite a modest dip in free cash flow, Bakkavor remains financially resilient, backed by consistent cash generation that supports both its day-to-day operations and longer-term growth initiatives. Positive technical signals and reasonable valuation metrics further support a constructive outlook for the company’s shares.
About Bakkavor Group plc
Bakkavor Group plc is a leading provider of fresh prepared food with a global footprint that includes the UK, US, and China. The company partners with major grocery retailers and foodservice brands to supply a wide range of high-quality products, including ready meals, pizza and bread, salads, and desserts. Bakkavor leverages its deep consumer insight, innovation, and operational scale to deliver convenience, freshness, and value.
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Average Daily Trading Volume: 525,665 shares
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Technical Sentiment: Buy
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Market Capitalization: £1.08 billion