Kerry Group PLC Kerry Group Capital Markets Day Update (2866T)
October 11 2017 - 3:00AM
UK Regulatory
TIDMKYGA
RNS Number : 2866T
Kerry Group PLC
11 October 2017
NEWS RELEASE
For Immediate Release
11 October 2017
Kerry Group Updates Medium Term Growth Targets at Capital
Markets Day
Kerry Group, the global taste & nutrition and consumer foods
group, at a Capital Markets presentation being held today, updates
the Group's medium term growth targets and objectives. The Group
also confirms the acquisition of US based Ganeden(R) -- a branded
technology company focused on probiotics and related
technologies.
Addressing investors, Kerry Group Chief Executive Edmond Scanlon
states that the Group expects to deliver in excess of 10% adjusted
earnings per share growth on a constant currency basis on average
per annum over the next five year cycle. "This will be delivered
through achievement of above industry-average volume growth and
continued business margin expansion. We expect to achieve 3% to 5%
volume growth annually on a Groupwide basis, with Taste &
Nutrition targeting 4% to 6% growth and Consumer Foods targeting 2%
to 3% growth".
In terms of trading profit margin progression, he confirms that
margin in Taste & Nutrition is targeted to grow by 40 basis
points per annum and margin in Consumer Foods is targeted to grow
by 20 basis points per annum, which will contribute a 30 basis
points Group margin improvement per annum on average across the
five year cycle.
"Kerry Group has a unique scalable business model which I am
confident can deliver the continued organic growth of the business
across developed and developing markets as planned. We are in a
strong position to lead the continued consolidation of our industry
benefiting from the Group's strong balance sheet, scalable business
model and geographic footprint. Return On Average Capital Employed
(ROACE) is the Group's key financial return metric, the target for
which remains to achieve a return in excess of 12% per annum", says
Edmond Scanlon.
The Group today also confirms the acquisition of Ganeden(R) -- a
leading technology innovation company focused on patented
probiotics and related technologies. Ganeden(R) based in Cleveland,
Ohio, with current year revenue of approximately US$25m, has an
extensive library of published studies and more than 135 patents
for technologies in the supplement, food, beverage, nutrition and
personal care markets. Complementing the Group's acquisition of
Wellmune(R) acquired in late 2015, the acquired Ganeden(R)
technologies will be extended into wider applications across
Kerry's global developed and developing markets.
Contact Information
Media
Frank Hayes Director of +353 66 corpaffairs@kerry.ie
Corporate Affairs 7182304
Investor
Relations
Brian Mehigan Chief Financial +353 66 investorrelations@kerry.ie
Officer 7182292
Ronan Deasy Group Financial +353 66 investorrelations@kerry.ie
Controller 7182292
William Head of Investor +353 66 investorrelations@kerry.ie
Lynch Relations 7182292
Website
www.kerrygroup.com
This information is provided by RNS
The company news service from the London Stock Exchange
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