Kerry Group Grows Revenue By 4.8% In First Half Of 2017
Kerry Group has released its results for the half year ending 30 June 2017, reporting an increase in group revenue of 4.8% to €3.2 billion, reflecting 3.8% business volume growth.
Kerry Group's Taste & Nutrition business saw volume growth of 4.2%, while its Consumer Foods division reported volume growth of 2.3%.
This follows on from a solid start to the year for Kerry Group, in which group-wide business volumes grew by 3.8% for the first quarter of 2017.
The group noted that in Europe, the retail environment has remained challenging, but that growth of out-of-home consumption and channel diversification ‘provided good opportunities for growth and market development’.
Overall, sales revenue in the EMEA region on a reported basis increased by 2.3% to €750 million, which Kerry Group says reflects business volume growth of 2.3%, a 2.2% increase in net pricing, and a 3.1% adverse translation currency impact – as well as an adverse 0.3% transaction currency impact.
Furthermore, despite challenged in the UK market, created by inflationary trends and the Brexit vote, Kerry Group still performed well.
Kerry Group Chief Executive Stan McCarthy commented on the results, “Against a background of significant adverse currency movements, we achieved a strong overall business performance in the first half of 2017, outperforming market growth rates and delivering a 7.5% increase in adjusted earnings per share.
“In February 2017, we guided growth in adjusted earnings per share of 5% to 9% at prevailing exchange rates.”
He added that, “Taking into account increased currency translation headwinds of 4% and a 2% improvement in underlying performance at constant currency rates, we now expect to achieve growth in adjusted earnings per share of 3% to 7% on a reported basis to a range of 333.1 to 346 cent per share (2016: 323.4 cent).”
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