Half Year 2024 Kerry Group PLC Earnings Call Transcript
Key Points
- Kerry Group PLC (KRYAF) achieved 3.1% volume growth in its Taste & Nutrition business, driven by strong performance in the foodservice channel.
- The company reported good margin expansion of 130 basis points in H1, with Taste & Nutrition EBITDA margin on track to reach 18% for the full year.
- Kerry Group PLC (KRYAF) upgraded its full-year earnings per share guidance to 7% to 10% growth on a constant currency basis.
- Strong free cash flow generation of EUR445 million with a cash conversion of 131% on an average basis.
- Continued investment in organic development and strategic acquisitions, including the completion of the Lattice enzymes business acquisition.
- Volume growth in the retail channel remains subdued, particularly in Europe due to soft market conditions.
- Pricing was 3% lower, reflecting net overall deflation across the basket of input costs.
- Foreign currency translation was 0.9% adverse due to movements in the US dollar and weakness of some emerging market currencies versus the euro.
- Overall volumes in Dairy Ireland were down 1.9% in the first half, reflecting market supply conditions.
- The company has not baked in an uptick in market conditions or promotional activity impacts into its guidance, indicating uncertainty in market recovery.
Good morning, and welcome to our 2024 half year results call. I'm joined on the call by our CEO, Edmond Scanlon, and our CFO, Marguerite Larkin. As usual, Edmond and Marguerite will take you through our presentation. And following this, we will open the lines up for your questions.
Before we begin, please note the usual disclaimer on our H1 presentation regarding forward-looking statements.
I will now hand over to Edmond.
Good morning, everyone, and thank you for joining our call. Beginning with the summary for hedge funds, where we delivered strong overall financial performance. Firstly, in volumes, we achieved 3.1% volume growth in our taste nutrition business across the first half of the year. This was led by a strong performance in the foodservice channel as we continue to enable established chains to evolve and develop their business while also working with emerging leaders to upscale their operations and their offerings.
Volume growth in the retail
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
