Global Performance Nutrition drives Glanbia revenues up 9pc
The sports nutrition arm of Glanbia, Global Performance Nutrition (GPN), has helped its parent company Glanbia to a 9pc surge in its revenue in the year to date.
Revenues increased 3.8pc in GPN which was driven by an 8.8pc increase from acquisitions offset by a 1.1pc price decrease and a 3.9pc volume decline related to lower contract manufacturing business and specific challenges in certain markets.
Speaking about the interim results managing director, Siobhán Talbot, announced that Glanbia is in talks with its US joint venture partner South West Cheese.
“Glanbia delivered a good performance in the first nine months of 2015. Reported revenues were up 9.0pc in our wholly owned business when compared to the same period last year and this was driven mainly by Global Performance Nutrition. The outlook for the remainder of 2015 is positive and we reiterate our full year guidance of adjusted earnings per share growth of 9pc to 11pc on a constant currency basis with a reported result of circa 25pc if exchange rates remain at current levels for the rest of the year.
"In line with our growth agenda, I am pleased to announce that we are in advanced discussions, with our US joint venture partner at South West Cheese, to expand cheese and whey production at our facility in New Mexico by 25%. This project is expected to take over two years to complete at an approximate cost of $140 million.”
Revenues from Join Ventures and Associates declined by 19.7pc when compared with last year with lower dairy markets playing a role in pricing reductions of 19.4pc.
The company's disposal of Nutricima reduced revenue by 1.1pc
The company's net debt stood at €567m on October 3 which represents a year on year reduction of €84m while total capital expenditure for the year is expected to be between €120m and €130m