Aryzta, the Swiss-based bakery company, has reported first-quarter revenue of €995m for the three months to the end of October 2015, a 6.1% increase on the same period last year.

The growth in revenue was driven by the group’s European division, which reported a 9.5% increase in turnover to €442.5m. The increase was driven by underling growth of 5.5%, contributions from acquisitions of 1.5% and favourable currency tailwinds of 2.5%.

Revenue for Aryzta’s North American division increased by 5.2% in the quarter to just over €500m. Favourable currency translated to 10.8% of growth which more than offset an underlying decline in sales of 5.6%. Aryzta says that improved utilisation and volumes is still required to offset the negative operating performance in North America last year.

The group’s rest of world division, which accounts for less than 6% of group turnover, recorded first-quarter revenue of €52.4m, a 10% decline year-on-year. The division recorded underlying growth of 2.2%, which only slightly offset negative currency headwinds of 12.2%.

Commenting on the results, Aryzta chief executive Owen Killian said the underlying revenue gains were satisfactory.

“In Europe, bakeries continued to outperform while Aryzta Food Solutions remains weaker due to some channel weakness as previously discussed. Our North American business is still digesting the impact of the capacity optimisation programme which commenced one year ago and also the impact of some supply chain contract renewals,” said Killian.

“Consumer sentiment is positive in North America where we are encouraged by the initial consumer feedback to our renewed focus on our brands, particularly La Brea Bakery and Otis Spunkmeyer. Consumer sentiment is more muted in Europe although our business in Ireland and the UK returned to growth in the period,” he added.