4th Nov 2015 09:30
LONDON (Alliance News) - Glanbia PLC Wednesday said it performed well in the first nine months of 2015 and is positive on the outlook for the full year.
The nutrition group said total group revenue in the nine months to October 3 grew 3.2% on the same period the year before, while wholly-owned revenue rose 9% driven by the Global Performance Nutrition brand.
Overall branded revenue growth in Global Performance Nutrition was good as continued momentum in the US offset headwinds in some non-US markets associated with both a strong US dollar and ongoing geopolitical issues, Glanbia said. The business also benefited from continued improvement in margin associated with product mix, operational leverage and raw material price deflation.
"The full-year 2015 outlook for GPN is positive with growth in revenue and margin expected compared to the prior year," Glanbia said.
The Global Ingredients business, however, suffered a decline in revenue as a result of weaker dairy market pricing, particularly in US cheese.
"The full-year outlook for 2015 is for GI to deliver improved volumes versus 2014 mainly due to higher milk throughput but a decline in overall revenues and performance is expected as a result of challenging dairy markets," Glanbia said.
Dairy Ireland, meanwhile, delivered a good performance. "The full-year 2015 outlook is positive with revenue growth and margin recovery versus prior year expected as the business benefits from continued cost improvements accompanied by the growth in sales of value added branded milk in Ireland," Glanbia added.
Overall, the company said it expects to deliver adjusted earnings per share growth of 25% in the full year if the euro to US dollar exchange rate remains at current levels.
Shares in Glanbia were trading down 0.2% at 17.69 pence Wednesday morning.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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