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Swiss-Irish food group Aryzta sees shares fall by nearly 4%

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The maker of Cuisine de France branded goods is reducing staff to help cut costs

The maker of Cuisine de France branded goods is reducing staff to help cut costs

PA

The maker of Cuisine de France branded goods is reducing staff to help cut costs

Shares in Aryzta fell by almost 4% yesterday after the Swiss-Irish food group said it expects the coronavirus to have a "material impact" on its performance this year.

The maker of Cuisine de France branded goods is reducing staff to help cut costs.

While trading in its most recent three-month period has been in line with market guidance up to March 15, conditions and prospects have since deteriorated, it said in a trading update.

"We cannot reasonably gauge what consequences will result from the situation as neither the duration nor the depth of this issue can be fully assessed at this point in time," Aryzta said.

In Europe, its quick service restaurant business - which accounts for 10% of its European revenue - and food service division have been strongly impacted by a significantly reduced footfall following government related restrictions, the Kevin Toland-headed company said.

Retail is performing well in the market, with a small uplift coming from this channel.

A similar pattern is now visible in the major states of the US, Aryzta said.

Elsewhere, in the rest of the world, the food service channel, particularly in South East Asia, is being strongly impacted, the statement from added.

The company is taking "decisive action". Among the cost saving measures it is implementing is a reduction in the working hours and workforce in the most impacted countries.

Belfast Telegraph