Shoppers carrying Primark bags
Shoppers carrying Primark bags REUTERS

Shares in Associated British Foods were up on the FTSE 100 in afternoon trading ahead of the group's first quarter trading statement, due tomorrow.

Last November the group announced record first year results, with revenue exceeding £10 billion for the first time ever.

The group was helped by shoppers flocking to Primark on the quest for cheap clothing, however all divisions of ABF reported good performances.

Despite the strong performance the company said it was cautious going into 2011 as rising wheat and cotton prices could strongly impact its costs.

Keith Bowman, analyst at Hargreaves Lansdown, said, "With the share price having enjoyed a 30 per cent plus re-rating over the last year, market consensus opinion currently denotes a weak hold/sell."

By 14:50 shares in Associated British Foods were up 1.08 per cent on the FTSE 100 to 1,128.00 pence per share.