Global ingredients supplier Kerry has revealed its H1 financial results, reporting a total revenue of €3,419 million.
The Taste & Nutrition category experienced volume growth of 3.1%, ahead of its end markets which “remained relatively muted” through the period. Foodservice reportedly performed “strongly” with volume growth of 7.3%, which Kerry said was “supported by new menu innovations, seasonal products and solutions to reduce operational cost and complexity”.
Kerry also said that growth in the retail channel reflected “good performances” in the Americas and APMEA, and growth in food protection and preservation was attributed to new clean label launches in food applications.
Total earnings before interest, taxes, depreciation and amortisation (EBITDA) was €551 million, and Kerry reported that its EBITDA margin expansion of 130 basis points was driven by cost efficiencies, portfolio developments, operating leverage, product mix and the net effect of pricing.
Across Europe, volumes were down 1%, but Kerry said its Meals category achieved “good growth”. Reported revenue in the region was €708 million, with Kerry stating that it reflected “strong comparatives and market conditions”, particularly in the retail channel given recent inflation across the region.
Edmond Scanlon, chief executive of Kerry, said: “We are pleased to report a good performance across the first half of the year. Taste & Nutrition delivered good volume growth ahead of our end markets, with strong profit growth and margin expansion across the business, contributing to our earnings per share growth of 9.1% in the period.
“Volume growth in the retail channel was driven by good performances in the Americas and APMEA, led by very strong growth in Snack applications with Kerry’s leading range of savoury taste profiles and Tastesense® salt reduction technologies.”
Scanlon continued: “Given the strength of our financial performance and our innovation pipeline, today we are updating our full year constant currency adjusted earnings per share guidance from 7% to 10%.”
