Did 3 NZX food stocks feel the heat of highest inflation?

Highlights

• Food inflation has been on a rise for the superannuitant households as prices of fruits and vegetables escalate.
• My Food Bag Group to release its HY22 results next month and will also announce an interim dividend.
• Cooks Global Foods conducts its Annual Meeting.

As per the latest reports by Stats NZ, it has been found that superannuitant households were hardest hit by the inflation in September 2021 quarter, majorly on account of increased prices for food, household utilities, transport costs, etc.

It is noted that inflation for these households was recorded at 2.2% for the said quarter when compared to 1.5% inflation experienced by the beneficiary households.

Moreover, food inflation for superannuitant households clocked 3.3% in the September quarter, in contrast to the 2.7% which was recorded for all households group.

With this overview, let take a close look at the three NZ food stocks, which might feel the heat of food inflation.

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My Food Bag Group Limited (NZX:MFB)

My Food Bag Group Limited is NZ's famous online meal-kit provider. Recently, MFB had provided a trading update, wherein it mentioned of safely operating its Auckland-based sites amid Covid restrictions.

Its preliminary Net Sales Value for the half-year period ended 30 September 2021, stood at NZ$98.4 million.

Moreover, its active customer base grew by 3.3% at the end of Q2.

It is noted that MFB would release its HY22 results on 19 November and will also declare an interim dividend, which would be paid in December.

On 29 October, at the closing bell, My Food Bag Group slumped by 3.20% at NZ$1.210.

Interesting Read: Is My Food Bag (NZX:MFB) same as HelloFresh?

Burger Fuel Group Limited (NZX:BFG)

Burger Fuel Group Limited has been operating for the past 20 years. The Company’s earlier CFO, Tyrone Foley, has re-joined BFG a few days back as its director.

However, as per NZX Listing Rules, Tyrone will not function as an Independent Director.

On 29 October, at the closing bell, Burger Fuel Group traded flat at NZ$0.360.

Related Read: Which 6 NZX stocks made the biggest moves in the market?

Cooks Global Foods Limited (NZX:CGF)

We would now look at Cooks Global Foods Limited, which boasts of having franchising rights to the famous Esquires Coffee brand. Yesterday, it had organized a virtual Annual Meeting of its shareholders.

Must Read: Which are 5 popular NZX food stocks to explore in October?

A resolution was passed for the re-election of a retiring director as well as authority was given to the Board to fix the Company auditor’s remuneration.

On 29 October, at the closing bell, Cooks Global Foods declined by 5.88% at NZ$0.032.

Bottom Line

As prices of fruits and vegetables rise, New Zealand food companies may be impacted by the growing inflationary trends.