Strong sales in nutrition division drive Glanbia revenues

Global food and nutrition giant, Glanbia, has beaten expectations and reported full-year revenues for 2013 of €3.3bn driven by strong sales from the company’s nutrition division.

The Glanbia group which now spans from North America to Nigeria reported an 8% growth in profits and a 5% rise in earnings before interest, taxes and amortisation (EBITA) to €226.7m

Group managing director with Glanbia, Siobhán Talbot said that the company’s main engines for growth had performed well.

“Glanbia had another year of double-digit earnings growth in 2013 as the group delivered a 12% increase in adjusted earnings per share. Our two global growth platforms performed well, particularly global performance nutrition where strong momentum in branded revenue growth and international expansion delivered a 28% increase in profitability, on a constant currency basis,” she said.

The global performance nutrition saw its revenue jump 11.8% to €655.3m as the company made further inroads in to the US market. The division benefited from their focus on speciality and internet sports nutrition market sub-segments which remain the largest and among the fastest growing segments in the market.

The other growth driver, the global ingredients division recorded an 8% rise in revenues to more than €1bn as a result of acquisitions and growth.

Ms Talbot said that the company expects these strong growth factors to continue into the future.

“Glanbia had another year of double digit earnings growth in 2013 as the group delivered a 12% increase in adjusted earnings per share. Our two global growth platforms performed well, particularly global performance nutrition where strong momentum in branded revenue growth and international expansion delivered a 28% increase in profitability, on a constant currency basis,” she said.

While the international operations were performing strongly Glanbia’s traditional home dairy business experienced a difficult year.

Earnings at Glanbia’s Dairy Ireland division fell by 29% to €15.1m. The company stated that the consumer division had underperformed.

As part of a plan to turn the consumer products division around the company announced a restructuring of head office and a reduction in overall costs.