The Kerry Group reported €8,020 million in revenue for 2023, reflecting a decrease of 8.6%, comprising the effect of disposals of 5.1%, contribution from acquisitions of 1.0%, unfavorable translation currency of 2.9%, pricing reduction of 0.7% and volume reduction of 0.9%. Taste & Nutrition business volumes increased by 1.1% while Dairy Ireland volumes decreased by 6.5%.
Below are the 2023 sales results for the Kerry Group:
- Group revenue of €8,020m
- Taste & Nutrition volume growth of +1.1% and +0.1% in Q4 (FY 2022: +7.8%) | Group volumes -0.9% (FY 2022: +6.1%)
- Group pricing -0.7% reflecting the deflationary H2 environment (FY 2022: +11.7%)
- EBITDA of €1,165m with organic profit growth more than offset by the impact of disposals and translation currency
- EBITDA margin increased by 60bps to 14.5% | Taste & Nutrition EBITDA margin 17.0%
- Adjusted EPS of 430.1 cents – reflecting a 1.2% increase in constant currency (2022: 440.6 cents)
- Basic EPS of 410.4 cent (2022: 341.9 cent)
- Free cash flow of €701m reflecting 92% cash conversion
- Good progress on sustainability commitments including increasing nutritional reach to 1.25 billion consumers
- Final dividend of 80.8 cents per share (total 2023 dividend up 10.1% to 115.4 cents)
- Plan for further share buyback in 2024 – details to be announced post-completion of existing €300m program
Edmond Scanlon, chief executive officer shared, “We delivered a solid performance in 2023 recognizing varying market dynamics across our regions. Overall Taste & Nutrition volume growth represented an outperformance of our markets. APMEA and Europe achieved good volume growth led by a strong performance in the foodservice channel, while volumes in North America were impacted by stocking dynamics and softer market conditions. Dairy Ireland performance reflected challenging market conditions across the year. We were pleased with our good progress in expanding our EBITDA margin and reporting strong free cash flow generation.
During the year we continued to invest capital and develop our business aligned to our strategic priorities. This included the expansion of our taste capabilities and footprint across our regions, further development of our nutrition portfolio, and broadening our emerging markets presence. This progress builds on our significant recent strategic portfolio developments and geographical expansion, strongly positioning Kerry for market outperformance and good margin progression in the coming years. As we begin 2024, Kerry’s innovation pipeline is strong, though overall consumer market volumes remain relatively muted, which is reflected in our guidance for the year of 5% to 8% adjusted earnings per share growth in constant currency.”
