FDBusiness.com

Solid First Half Performance by Kerry Group

 Breaking News
  • UK Supermarkets are Struggling to Grow The latest grocery market share figures, published by Kantar, show year-on-year supermarket sales were flat during the 12 weeks to 11 August 2019 as the tough comparisons with 2018’s strong summer continue. The memory of last year still looms large for retailers and this summer’s comparatively poor weather, combined with low levels of like-for-like price [...]...
  • Nestlé UK Launches New On-trend Flavours Nestlé has introduced two new on-trend flavours to its much-loved Munchies brand in the UK and Ireland. Available in 101g sharing bags, new Munchies Chocolate Fudge Brownie and Munchies Cookie Dough are the first new Munchies products since 1996. The new flavours were created at Nestlé’s confectionery sites in York and Fawdon, Newcastle. Munchies Brand Manager [...]...
  • Dedicated Industry Forums Take on Packaging’s Hottest Topics Experts from major brands, such as Coca-Cola, Ella’s Kitchen and REN Clean Skincare, will take to the stage as part of the dedicated industry forums for the beauty, food and drink sectors at Packaging Innovations and Luxury Packaging London 2019. The show, which returns to Olympia on 11 & 12 September, will tackle the key subjects [...]...
  • Greene King Being Sold For £2.7 Billion CK Asset, which is one of the largest property developers in Hong Kong and an international investment group, has made a recommended £2.7 billion cash offer for Greene King, the UK’s leading integrated brewer and pub retailer operating over 2,700 pubs, restaurants and hotels across England, Wales and Scotland. Including debt, the enterprise value of [...]...
  • The Hershey Company Takes Minority Stake in Irish Snacking Brand The Hershey Company, the US-based food group, has made a minority investment in Fulfil Holdings, the owner of the snacking brand FULFIL. Headquartered in Dublin, Ireland, FULFIL has rapidly grown since its inception, now outselling many traditional chocolate snack bar brands in the UK and Ireland and named a top 50 consumer brand in Ireland. Brian [...]...

Solid First Half Performance by Kerry Group

Solid First Half Performance by Kerry Group
August 08
09:56 2014

Kerry Group, the global ingredients, flavours and consumer foods business, has reported a 3% increase in first half trading profit to €275 million, reflecting 7.1% like-for-like growth, on revenue down 1.9% to €2.9 billion, impacted by the adverse currency factors.

Business efficiency enhancements through the group’s 1 Kerry Business Transformation Programme and improved product mix contributed a 50 basis points increase in the group trading profit margin to 9.5%. This reflects a 60 basis points improvement in trading margin in Kerry’s ingredients & flavours business to 11.7% and 10 basis points improvement in Kerry’s consumer foods margin to 7.8%.

Kerry’s Ingredients & Flavours division increased trading profits by 4.9% to €251 million on sales of €2.1 billion with underlying sales growth of 4.7%. In a comparatively weak overall marketplace, Kerry’s taste & nutrition platforms outperformed market growth rates in all regions. Functional ingredients & actives recorded strong growth in particular in nutrition sectors. Growth continued to accelerate in developing markets despite the economic impacts of significant negative currency movements.

Kerry Foods, which produces added-value branded and customer branded chilled foods primarily to the UK and Irish consumer foods markets, reported revenue of €801 million, reflecting 0.9% lower underlying sales. Continuing business volumes (primarily due to reduced engagement in promotional activity) declined by 1.2% and net pricing increased by 0.2%. Trading profit decreased by 2.4% to €62 million.

Increased fragmentation of food retailing coupled with prioritised spend and drive for value by consumers in the Irish and UK markets continued to impact performance in Kerry Foods’ chilled foods categories. However, the division has continued to improve efficiencies through advanced lean programmes. Kerry Foods’ focus brands continue to perform well, particularly in the UK market.

Stan McCarthy, chief executive of Kerry group, comments: “We are pleased to report a solid group-wide performance in H1 2014 with good underlying sales growth and margin improvement. Notwithstanding significant adverse currency movements, adjusted earnings per share increased by 5.8% to 115.2 cent. Our Kerry Global Technology & Innovation Centres continue to drive industry-leading innovation. We remain confident of delivering 6% to 10% growth in adjusted earnings per share in 2014 as previously guided.”

 

About Author

mike

mike

Related Articles

Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • September 11, 2019Packaging Innovations & Luxury Packaging London 2019
  • October 1, 2019PPMA Total Show
  • October 17, 2019Future Food-Tech
  • November 18, 2019Plastics Caps and Closures Conference 2019
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber

Subscribe Here



Advertisements