Glanbia to benefit from fast food restaurants’ demand for cheese

Demand for cheese from European fast food outlets will ensure that Glanbia keeps a strong focus on consumer markets, says one leading market analyst.

A commentary yesterday by financial services firm Investec suggested that Glanbia Ingredients Ireland Ltd can expect growth this year on the back of rising demand for cheese among pizza groups and others in the quick service restaurant (QSR) sector.

“Despite its current focus on the strongly growing performance nutrition market, Glanbia retains a strong interest in cheese production, some of which supplies the quick service restaurant sector,” said Investec. “Its exposure to the European B2B cheese market is now mainly through its Glanbia Ingredients Ireland Ltd and Glanbia Cheese JVs. We estimate Glanbia Ingredients Ireland Ltd accounted for 9.5% of total revenue in FY13A (including JVs) and 6.7% of EBITA.”