Europe’s largest bakery group Kamps unveiled Q3 results in line with market expectations and reaffirmed a full-year profit forecast yesterday, signalling an end to a six-month string of bad news.

Germany-based Kamps was listed in 1998 and remained a favourite holding for small-cap investors; but mounting debt prompted by large acquisitions, a profit warning in July and unpredictable financial results over the last two quarters prompted mounting concern amongst analysts.

For the first nine months of this financial year, however, the group posted a net income of €13m (US$11.7m), sharp rises in interest payments and amortisation charges prompting a fall from last year’s €28.3m. Before amortisation however, operating profit was up 14% to €75m, and year on year, sales were up by more than 20% to €1.4bn.

Analysts welcomed the figures cautiously. Jadwiga Bobrowska, from West-LB Panmure, is cited in the Financial Times as commenting that despite the meeting of expectations, “the third quarter was one of the weakest to date”.