Kerry Group Demonstrates Group Revenue: €8.020b
Source: The DairyNews
In a challenging business landscape, Kerry Group showcased a robust performance for the fiscal year 2023, Dairynews.today writes
Here are the key highlights:
Edmond Scanlon, Chief Executive Officer, commented on the performance, stating, "We delivered a solid performance in 2023, recognizing varying market dynamics across our regions." He highlighted the outperformance of overall Taste & Nutrition volume growth in markets, with APMEA and Europe showing strong volume growth, while North America faced challenges due to stocking dynamics and softer market conditions. Dairy Ireland faced challenging market conditions throughout the year.
Scanlon expressed satisfaction with the progress made in expanding EBITDA margin and generating strong free cash flow. He outlined the company's strategic investments in taste capabilities, nutrition portfolio development, and emerging markets presence. With a strong innovation pipeline, Kerry is positioned for market outperformance and margin progression in the coming years.
Looking ahead to 2024, Scanlon acknowledged the muted overall consumer market volumes, reflecting in the guidance of 5% to 8% adjusted earnings per share growth in constant currency. The company remains focused on strategic priorities to navigate evolving market dynamics successfully.
- Group Revenue: €8.020b
- Taste & Nutrition Volume Growth: +1.1%, with Q4 at +0.1% (FY 2022: +7.8%)
- Group Volumes: -0.9% (FY 2022: +6.1%)
- Group Pricing: -0.7%, reflecting deflationary H2 environment (FY 2022: +11.7%)
- EBITDA: €1,165 million, with organic profit growth offset by disposals and translation currency impact
- EBITDA Margin: Increased by 60 basis points to 14.5%
- Taste & Nutrition EBITDA Margin: 17.0%
- Adjusted EPS: 430.1 cent, a 1.2% increase in constant currency (2022: 440.6 cent)
- Basic EPS: 410.4 cent (2022: 341.9 cent)
- Free Cash Flow: €701 million, reflecting 92% cash conversion
- Sustainability Commitments: Progress made, reaching 1.25 billion consumers with increased nutritional reach
- Final Dividend: 80.8 cent per share (total 2023 dividend up 10.1% to 115.4 cent)
Edmond Scanlon, Chief Executive Officer, commented on the performance, stating, "We delivered a solid performance in 2023, recognizing varying market dynamics across our regions." He highlighted the outperformance of overall Taste & Nutrition volume growth in markets, with APMEA and Europe showing strong volume growth, while North America faced challenges due to stocking dynamics and softer market conditions. Dairy Ireland faced challenging market conditions throughout the year.
Scanlon expressed satisfaction with the progress made in expanding EBITDA margin and generating strong free cash flow. He outlined the company's strategic investments in taste capabilities, nutrition portfolio development, and emerging markets presence. With a strong innovation pipeline, Kerry is positioned for market outperformance and margin progression in the coming years.
Looking ahead to 2024, Scanlon acknowledged the muted overall consumer market volumes, reflecting in the guidance of 5% to 8% adjusted earnings per share growth in constant currency. The company remains focused on strategic priorities to navigate evolving market dynamics successfully.
