UPDATE 2-Greencore's UK, U.S. consumers to boost profit

* Sees op. profit modestly ahead of '08 on constant fx

* On track for FY adj EPS of 16.4 cents vs 24 cents in '08

* Witnesses slight improvement in UK consumer sentiment

* Shares rise 0.7 pct

(Adds analyst comment, shares)

By Andras Gergely

DUBLIN, Aug 13 (Reuters) - Irish food group Greencore GNC.I expects to raise its operating profit slightly this year before currency effects helped by improved British consumer sentiment and a strong U.S. debut, it said on Thursday.

"The UK environment remains challenging although there has been a slight improvement in consumer sentiment in recent months," Greencore (GNC.L) said in a statement.

Greencore's UK chilled foods volumes increased by 4.4 percent in the four months to July over the same period last year while its U.S. Convenience Foods division recorded 43 percent underlying sales growth year on year.

That marked a good start after Greencore's first foray into the American convenience food market with its acquisition of Home Made Brand Foods Inc in April 2008.

The company, which also makes prepared meals under the Weight Watchers brand, said it was on track to meet market expectations of 16.4 euro cents in adjusted earnings per share, down from 24 cents last year, with a modest rise in operating profit before the effect of a weaker sterling.

Greencore, which ranks itself as Britain's No.1 sandwich maker supplying supermarkets, garage forecourts and airlines, said good early summer weather and its focus on private label items had helped attract more value-conscious consumers.

"In the current environment it's the place to be in really," said Goodbody analyst Killian Murphy of private label foods that Greencore supplies to the likes of grocer J Sainsbury (SBRY.L).

UK peers offering more branded items such as Northern Foods NFDS.L and Premier Foods (PFD.L) had been less successful than Greencore at improving both sales and margins simultaneously, Murphy said. [ID:nL4529996] [ID:nLF061635]

In the four months to 24 July, convenience foods sales from continuing businesses rose 2.5 percent to 278.1 million euros, compared with the same period last year on a constant currency basis.

Continental European sales fell 9 percent in the four months to July mainly due to a weaker consumer environment in The Netherlands, it said.

"Overall, a solid performance for the group, with encouraging progress in the UK and US convenience food divisions," Davy analyst Jack Gorman said in a note.

Shares in Greencore rose 0.7 percent to 1.45 euros by 1038 GMT on the Dublin exchange after touching a high of 1.55 euros. (Reporting by Andras Gergely; Editing by Hans Peters and Gilbert Kreijger)