2020 Interim Results Announcement


Encouraging first half results

Resourced to respond to the challenges of COVID-19

Financial Headlines


2019 IFRS 16
pro forma

2019 IFRS 16
pro forma

2019 as reported

    Actual currency

Constant currency

Actual currency

Group revenue





Adjusted operating profit





Adjusted profit before tax





Adjusted earnings per share





Dividend per share





Gross investment




Net cash (before lease liabilities)




Net debt (including lease liabilities)




Statutory operating profit




Statutory profit before tax




Basic earnings per share




Statutory operating profit is stated after exceptional charges of £309m. We have carefully reviewed the inventory on hand at Primark and, to reflect an expected lower net realisable value on some inventory when our stores reopen, this charge includes a £284m provision.

George Weston, Chief Executive of Associated British Foods, said:

“The group delivered an encouraging trading performance in the first half. The rapid spread of COVID-19 has impacted all of our lives and the human tragedy that continues to unfold has shocked and saddened us all. We are a strong, diversified and resilient group. Our people are working hard to maintain supply from our food businesses. Primark is managing through an extraordinarily challenging period after all of its stores closed in March and our management response to mitigate the cash outflows was swift and proportionate. Although uncertainty remains, we have the people and the cash resources to meet the challenges ahead.”

Adjusted operating profit is stated before the amortisation of non-operating intangibles, profits less losses on disposal of non-current assets, transaction costs, amortisation of acquired inventory fair value adjustments and exceptional items. These items, together with profits less losses on the sale and closure of businesses, are excluded from adjusted profit before tax and adjusted earnings per share. References to operating profit in the Operating Review are based on this adjusted operating profit measure.

The 2019 results have been provided on an IFRS 16 pro forma basis in addition to the results previously reported under IAS 17 in order to provide a better understanding of comparison between the 2020 results and the 2019 results. These IFRS 16 pro forma figures have been prepared using the same data and assumptions as those used for the transition adjustment.

Constant currency figures are derived by translating the 2019 results on an IFRS 16 pro forma basis at 2020 average exchange rates, except for Argentina and Venezuela where consumer price inflation has escalated to extreme levels, in which case actual exchange rates are used.

For further information please contact:

Until 15.00 only
Associated British Foods:

John Bason, Finance Director
Catherine Hicks, Corporate Affairs Director
Tel: 020 7638 9571

Citigate Dewe Rogerson:
Tel: 020 7638 9571
Chris Barrie Tel: 07968 727289
Jos Bieneman Tel: 07834 336650
Elizabeth Kittle Tel: 07720 498455

After 15.00
John Bason, Finance Director
Catherine Hicks, Corporate Affairs Director
Tel: 020 7399 6545

Interim Results Announcement