Glanbia shares fall on back of €8m hit
Published 01/07/2011 | 05:00
SHARES in Glanbia fell nearly 2pc yesterday after the company said it will take an €8m exceptional charge in its half-year results due to the continuing poor performance of the Irish market.
The company said the Irish market remained "difficult", particularly in its Consumer Products division "as consumer sentiment remains weak and input cost pressures remain high".
It also said the firm would take an exceptional charge in the half-year results of around €8m due to restructuring costs. Despite the charge, it remained on target to meets its earnings forecasts this year.
In an interim management statement, the company said it had a "strong" first half of the year and expected to hit earnings per share growth of between 11pc and 13pc.
The global nutritionals business was the main driver of growth during the first six months, with organic growth in all of the division key market segments, Glanbia said.
High milk prices affected the US Cheese and Dairy Ireland businesses in contrasting ways.
Goodbody stockbrokers' Liam Igoe said the company statement reaffirmed market expectations.