Glanbia revenue up almost 10pc driven by performance nutrition business
Revenue at Kilkenny-based Glanbia rose by 9.9pc to €2bn in the six months to 30 June, driven by a strong performance in the company’s nutritional business, according to the groups interim statement.
Earnings before interest, taxation, deprecation, and amortization (EBITA) were €198.2m, up 6.6pc on the same period in 2016 on a constant currency basis.
Announcing the results, the company said that as a result of the sale of 60pc of Dairy Ireland and related assets, results from this division have been classified as 'discontinued operations'.
Total net cash proceeds from the sale of Dairy Ireland is expected to be in excess of €200m.
Read more: Glanbia plc completes sale of Dairy Ireland
Glanbia Nutritionals, which includes its value-add dairy ingredients business, was the main driver of the company’s performance, with revenue growth of 9pc on a constant currency basis, and EBITA of 8.1pc, also on a constant currency basis.
While the groups Joint Ventures and Associates also delivered strong revenue and EBITA growth of 23.2pc and 83.8pc respectively.
The company’s Performance Nutrition business delivered reported revenue growth of 5.4pc on a constant currency basis, and EBITA growth of 0.2pc.
On a pro-forma basis, adjusted earnings per share grew by 10.1pc.
The group reiterated its full year guidance of 7pc to 10pc constant currency basis.
However it warned that if average Euro US dollar exchange rates remains at similar levels to the average over the past month for the remainder of 2017, then Glanbia expects the full year reported pro-forma adjusted earnings per share growth from continuing operations to be marginally lower than the constant currency result.
Commenting on the results, Glanbia Group Managing Director Siobhán Talbot, said that the group had delivered a “good performance” in the first six months of the year.
"Glanbia Nutritionals and Joint Ventures were the main drivers of growth in the first half and we believe second half earnings progression will also be driven by Glanbia Performance Nutrition where good organic growth is expected for the remainder of the year," Ms Talbot said.