A strong performance in Glanbia’s nutritional division was the key growth driver in 2017 half year results which show the group’s revenue has increased by almost 10 percent to €2bn (US$2.4bn). According to the Ireland headquartered group’s interim statement, half year results for the six months ended 1 July 2017 show a good performance driven by Glanbia Nutritionals.

EBITA was €198.2 million (US$234 million), up 6.6 percent on the same period in 2016 on a constant currency basis.

The group – which has leading market positions in sports nutrition, cheese, dairy ingredients, specialty non-dairy ingredients and vitamin and mineral premixes – said that following the recent sale of a majority stake in its dairy business results from its Dairy Ireland division had now been classified as “discontinued operations.”

“Glanbia delivered a good performance in the first six months of 2017 with wholly owned revenues from continuing operations growing 7.3 percent, constant currency, when compared to the same period in 2016,” says Siobhán Talbot, Group Managing Director.

Results highlights for the half year 2017
Sale of 60 percent of Dairy Ireland and related assets completed on July 2, 2017 and a new joint venture, “Glanbia Ireland”, established encompassing the businesses of Glanbia Ingredients Ireland DAC and Dairy Ireland.

On a pro forma basis, Adjusted Earnings Per Share grew 13.2 percent reported (10.1 percent constant currency), while wholly owned revenues from continuing operations of €1,185.7 million (2016: €1,077.9 million) up 10.0 percent on prior half year (7.3 percent constant currency).

Wholly owned EBITA from continuing operations of €148.3 million (2016:€139.1 million) up 6.6 percent on prior half year (3.5 percent constant currency).

Glanbia Performance Nutrition delivered reported revenue growth of 7.6 percent (5.4 percent constant currency) and reported EBITA growth of 3.1 percent (0.2 percent constant currency).

Glanbia Nutritionals delivered reported revenue growth of 12.2 percent (9.0 percent constant currency) and reported EBITA growth of 11.6 percent (8.1 percent constant currency); Joint Ventures and Associates delivered strong revenue and EBITA growth of 23.1 percent (23.2 percent constant currency) and 84.8 percent (83.8 percent constant currency) respectively.

“Pro-forma Adjusted Earnings Per Share was up 10.1 percent, constant currency. The sale of 60 percent of Dairy Ireland and related assets was completed on July 2, 2017 and this business together with Glanbia Ingredients Ireland have formed a new Joint Venture named Glanbia Ireland,” adds Talbot. 

“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 wher good organic growth is expected for the remainder of the year.”

“Overall, we reiterate guidance for the full year of Pro-forma Adjusted Earnings Per Share growth of 7 percent to 10 percent on a constant currency basis.”