August 25/Kilkenny, Ireland/Business World -- Dairy foods and ingredients group Glanbia reported a big leap in first half profits and raised its forecast for the full year.
The group posted a 58% rise in pretax profits for the period to 60.2 million euros. Revenue for half year to July 3 was up by 9.7% to 1,03 billion euros.
It says its Irish dairy ingredients division returned to profitability during the period, and its global nutritionals operation showed a "good performance." These developments helped it to a 50.8% rise in adjusted earnings per share for the first half. It has lifted its guidance on expected earnings per share growth for the full year to 20%.
The group's operating profit for the half year was up to 66.3 million euros, and its operating margin was up 130 basis points to 6.4%. Profit on an EBITDA basis was up 27.6% to 89.2 million euros. It said that for the full year its international cheese and nutritionals business was expected to deliver "reasonable year-on-year growth." Irish dairy results would be mixed with dairy ingredients strongly ahead compared with a loss in 2009, but with consumer products behind in the context of a very tough trading environment. Agribusiness would be marginally ahead. International joint ventures were expected to have a good full year, underpinned by a solid performance from Southwest Cheese in the U.S. and Glanbia Cheese in the U.K., and an improved operating performance at Nutricima in Nigeria. The group has raised its interim dividend by 5%.
From the August 26, 2010, Prepared Foods' Daily News
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