Global ingredients supplier Kerry has reported good volume growth for Q3, which it said was led by “strong foodservice performance”.
Kerry Taste & Nutrition delivered volume growth of 3.2% in Q3, with Group Q3 volumes reaching 3.4%. It said this growth was led by its Snacks and Bakery divisions in Taste & Nutrition.
Foodservice saw volume growth of 6.8%, which Kerry said was supported by new menu innovations, seasonal products and solutions for nutritional, sustainability and operational enhancements.
Growth in the retail channel reportedly improved through the period, which Kerry found reflected “good performances” in the Americas and Asia-Pacific, Middle East and Africa (APMEA) areas. Business volumes in emerging markets increased by 6.4%.
Europe region sees “improved retail volumes”
In the Europe region, volumes were up 0.7% in Q3 to reach -0.5%, which Kerry described as a “positive turn”. Bakery achieved “good growth”, and Kerry said performance in Dairy and Snacks reflected “strong prior year comparatives”.
Q3 volumes within Europe reflected market conditions, “particularly given market consumption in the retail channel post the recent inflation in the region”. It said foodservice had performed well, with retail volumes improving through the period.
Edmond Scanlon, chief executive officer at Kerry, said: “We were pleased with our performance across the first nine months of the year, with continued volume progression through the period, combined with strong margin expansion.
“Taste & Nutrition achieved volume growth of 3.4% in Q3, which as previously referenced was broadly in line with market expectations. This represented continued strong volume growth in the Americas, a good performance in APMEA, with volumes in Europe turning positive in the third quarter. Volumes in the retail channel steadily improved through the period, while foodservice continued to deliver strong growth, given our unique positioning as we outlined at our recent investor day.
“We remain on track to achieve our full year guidance, and today we reiterate our range of 7% to 10% constant currency adjusted earnings per share growth.”
