UK chilled and convenience foods group Uniq has seen its losses narrow as sales rose during the first half of the year.

Uniq, which makes own-label salads, desserts and sandwiches for European retailers, posted an underlying operating loss of GBP6.6m (US$13.4m), compared to GBP8.4m a year earlier.

Revenue climbed 4.2% to GBP360.3m as sales rose in the UK, France and northern Europe, Uniq said.

Chief executive Geoff Eaton said the results were in line with the company’s expectations.

However, Uniq warned that it would face pressure from rising commodity costs, particularly in dairy, eggs and flour, which make up 20% of the company’s raw material costs.