Kerry Group Reaffirms Earnings Guidance Following Strong Quarter for Dairy Ireland
Source: DairyNews.today
Kerry Group PLC, based in Tralee, Ireland, has confirmed its annual earnings guidance, forecasting a 7% to 10% growth in adjusted earnings per share (EPS) at constant currency for 2024. With adjusted EPS standing at 430.1 euro cents in 2023, Kerry projects a 2024 result of at least 460 cents, though currency movements are expected to create a 1% headwind on EPS.
This reaffirmation comes on the heels of a solid third quarter, where the group reported 3.2% volume growth overall, driven by a 3.4% increase in its Taste & Nutrition division. However, this volume growth was partially offset by a 1.2% price reduction across both the group and its largest division.
Dairy Ireland, a key segment of Kerry’s operations, posted notable volume growth of 5.7% in the third quarter, accompanied by a 5.1% increase in pricing. Despite these positive results, year-to-date figures paint a more modest picture, with Dairy Ireland’s volume growth at just 0.4% and pricing down by 3.1%. Nevertheless, the division has achieved a 120 basis point improvement in its earnings margin so far this year.
Kerry Group’s net debt stood at EUR1.9 billion as of the end of September, but despite this, the company recently announced plans for a new share buyback program valued at up to EUR300 million.
As of Thursday, Kerry's stock price rose 2.5% to EUR94.05 in London, marking a 29% increase over the past 12 months. The group continues to focus on strengthening its operations and expanding value for shareholders, reflecting its robust market performance in both nutrition and dairy segments.
Dairy Ireland, a key segment of Kerry’s operations, posted notable volume growth of 5.7% in the third quarter, accompanied by a 5.1% increase in pricing. Despite these positive results, year-to-date figures paint a more modest picture, with Dairy Ireland’s volume growth at just 0.4% and pricing down by 3.1%. Nevertheless, the division has achieved a 120 basis point improvement in its earnings margin so far this year.
Kerry Group’s net debt stood at EUR1.9 billion as of the end of September, but despite this, the company recently announced plans for a new share buyback program valued at up to EUR300 million.
As of Thursday, Kerry's stock price rose 2.5% to EUR94.05 in London, marking a 29% increase over the past 12 months. The group continues to focus on strengthening its operations and expanding value for shareholders, reflecting its robust market performance in both nutrition and dairy segments.