London: British chocolate and gum maker Cadbury PLC on Wednesday upgraded its full-year outook as it reported a 7% rise in third-quarter revenue. The firm said that it does not need to be taken over by a conglomerate like Kraft to deliver results.
Cadbury, which has rejected a takeover approach from Kraft Foods Inc., said that it expected full-year revenue growth to be in the middle of a range between 4% and 6%. In its first-half report on 9 July, the company had forecast revenue growth at the lower end of that range.
Cadbury also forecast an improvement of 1.35 percentage points in its profit margin for the year, up from the half-year guidance of a 0.80-1 percentage point increase.
Kraft faces a 9 November ‘put up or shut up’ deadline set by London’s takeover panel to make a firm offer for Cadbury or walk away for six months.
Cadbury said that its revenue from chocolate rose 7% on a constant currency basis, candy rose 11% and gum 4%.
Revenue from South America was up 18% and Asia-Middle East-Africa produced a 14% gain.
“The strength of our operating performance continues to underpin the board’s confidence in both our growth prospects and the potential for creating further, material shareholder value as a pure play standalone confectionery business,” said Cadbury chairman Roger Carr.