Food wholesaler Kitwave has reported a booming summer, leaving it confident that it could deliver financial results in line with expectations at the end of the year.
The AIM-listed delivery business, which floated in 2021, reported strong customer demand in a trading update this morning, with an eye towards the end of its financial year on 31 October.
As well as a pickup in demand, Kitwave said it had benefitted from operational investments made earlier in the year, such as installing voice-picking technology at its Northern ambient hub.
Founded in 1987, Kitwave delivers to around 42,000, mainly independent, customers through a network of 32 depots.
Last year, the group acquired 130-year-old Total Foodservice Solutions for £21m and the drinks distributor WLG Holdings (also known as Wilds), which the Kitwave said have been integrated “successfully”.
“The integration of Wilds of Oldham is now complete while the integration of Total Foodservice Solutions is proceeding as planned,” the group said today.
Kitwave also confirmed that the construction work for its new 80,000 square foot Foodservice distribution site in the Southwest has been completed and is on track to be fully operational by the end of the financial year.
It said that this would enable the consolidation of three sites into one and further integrate the group’s Westcountry and M.J. Baker businesses.
“The group continues to execute its growth objectives successfully. The combination of strong sales and the positive effects of the operational investment made earlier in the year, means we are confident of delivering results in line with market expectations for the full year,” said Ben Maxted, who took over as Kitwave’s CEO in March.
“At the same time, the integration of our recent acquisitions has progressed as expected and the new Southwest distribution centre is on track to be fully operational by the financial year end.”