24th May 2005 14:03
Kerry Group PLC24 May 2005 Press Announcement Updating Statement : Annual General Meeting : Kerry Group plc 24 May, 2005 Kerry, the global ingredients, flavours and consumer foods group, today statedthat the Group expects to perform in line with market earnings expectations forthe year 2005. Addressing shareholders at the Group's Annual General Meeting, Hugh Friel, ChiefExecutive, reported that trading to date in 2005 was satisfactory and that heexpects a good out-turn for the full year, notwithstanding the challengingmarket environment. "The Group is making good operational progress and continues to benefit fromtechnology developments and innovation in its core product areas," Mr Frielsaid. "We are achieving solid operational and business enhancements, inparticular as a result of the Group's continuing capital expenditure programmeswhich I expect will yield further improvements in business efficiencies in themedium term. Kerry continues to explore complementary acquisitionopportunities," he added. As previously stated, accounts from 1 January 2005 will be prepared in line withInternational Financial Reporting Standards (IFRS). Speaking at the AnnualGeneral Meeting, Brian Mehigan, Chief Financial Officer, referred to the impactof the changes to accounting policies and a restatement of the Group's 2004reported results. Mr Mehigan said; "While the restatements have a relativelyminor net impact on the adjusted earnings per share of the Group (negative 0.8cent) and a zero impact on operating cash flows, the restatements do have animpact on a number of other line items. The most significant of these is anincrease in profit after tax and basic earnings per share by €58m and 31.3 centrespectively due primarily to the significant reduction in the amortisationcharge in the Consolidated Income Statement. In addition, the net assets of theGroup have decreased by approximately €76m mainly as a result of the adoption ofIAS 19 'Employee Benefits' which requires the placing of the previouslydisclosed net pension deficit on the Consolidated Balance Sheet." Mr Mehigan added; "I do not foresee these changes having a material impact onthe current adjusted earnings per share expectations in the market place for theGroup in 2005." As part of the transition from Irish/UK GAAP, detailed financial informationprepared in accordance with IFRS for the date of transition 1 January 2004 andfor the year ended 31 December 2004, has been posted on the Group's websitewww.kerrygroup.com. ends For further information please contact : Telephone: + 353 66 718 2304Frank Hayes, Fax: + 353 66 718 2972Director of Corporate Affairs, Email: [email protected] Group plc. Website: www.kerrygroup.com This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Kerry