Glanbia Plc · EURONEXT:GL9
Glanbia — Glanbia Plc Ord — FY2024 Earnings Presentation
26 slides from Glanbia's earnings presentation, Feb 25, 2025
Slide 1: Full Year 2024 Results
Full Year 2024 Results 26 February 2025 Hugh McGuire Mark Garvey Chief Executive Officer Chief Financial Officer
Slide 2: Important Notice
Important Notice This presentation contains forward-looking statements. These statements have been made by the Directors in good faith based on the information available to them up to the time of their approval of this presentation. Due to the inherent uncertainties, including both economic and busi
Slide 3: Agenda
Agenda Business Review 01 Finance Review 02 Q&A 03 3 || Glanbia plc FY 2024 Results
Slide 4: 2024 Highlights
2024 Highlights • Strong performance with adjusted EPS* 140.03 $cent – growth of 6.8% • Optimum Nutrition & Isopure performance continued with double-digit volume growth • NS delivered good volume growth across premix and protein solutions businesses • 10% increase in dividend and €102m returned via
Slide 5: Business Review
Business 01 Review Hugh McGuire Chief Executive Officer 5 || Glanbia plc FY 2024 Results
Slide 6: GPN – FY 2024 Performance
GPN – FY 2024 Performance $m FY 2024 Growth* FY 2024 Revenue 1,806.7 +0.5% GPN Revenue Mix % EBITDA 305.4 +8.3% EBITDA Margin % 16.9% +120bps • Revenue growth* +0.5%: volume +2.9%, pricing -4.2%, 53rd week +1.8% 18% 66% LFL Growth** • Revenue growth* -0.5% in Americas and +2.3% in LFL Growth** +0.4%
Slide 7: World's #1 Sports Nutrition Brand with More Growth Potential
World’s #1 Sports Nutrition Brand with More Growth Potential Revenue Increased campaign reach Digital education tools US growth* consumption** +7.5% +0.4% • Volume +10.4%, pricing -4.9%, 53rd week +2.0% • Strong volume growth across Americas and International • Good growth in US household penetratio
Slide 8: Growing our Healthy Lifestyle Portfolio
Growing our Healthy Lifestyle Portfolio Revenue US growth* consumption** +2.3% +3.3% • Continued roll out of Isopure “Add Less. Do More“ campaign driving good growth in household penetration • New, more approachable and premium Isopure packaging with new taste on core range and infusions shipping in
Slide 9: GN NS – FY 2024 Performance
GN NS – FY 2024 Performance $m FY 2024 Growth* Revenue 1,007.7 +14.0% EBITDA 200.0 +27.2% EBITDA Margin % 19.8% +200bps • Revenue growth* +14.0%: volume +3.6%, pricing +0.4%, 53rd week +2.3%, acquisitions +7.7% • Broad-based volume growth driven by premix and protein solutions businesses • Pricing i
Slide 10: Creating Two Focused Divisions with New Operating Model
Creating Two Focused Divisions with New Operating Model Providing enhanced visibility to the different margin and growth profiles of both businesses Health & Nutrition Dairy Nutrition • Premix and flavours platforms • Leading dairy platform • Priority end-use markets • Scale standalone business • Hi
Slide 11: Navigating Whey Volatility
Navigating Whey Volatility Decisive and proactive strategic action taken to mitigate temporary whey headwinds Current Landscape Mitigating Actions • High-end whey costs at record levels • Revenue growth management • Increased whey prices driven by consumer • Marketing spend effectiveness demand for
Slide 12: Group-Wide Transformation Programme
Group-Wide Transformation Programme Drive efficiencies across the Group and support the next phase of growth 1 2 3 4 Operating Model Unlocking Supply Chain Accelerating Digital Ongoing Portfolio Optimisation Efficiencies Transformation Evaluation ✓ Health & Nutrition ✓ Global Supply Chain to ✓ Oppor
Slide 13: Finance Review
Finance 02 Review Mark Garvey Chief Financial Officer 13 || Glanbia plc FY 2024 Results
Slide 14: FY 2024 Financial Summary
FY 2024 Financial Summary $3.8bn Revenue +5.8% pro forma constant currency $551m EBITDA +11.8% constant currency +80 bps pro forma constant currency 14.4% EBITDA margin GPN +120bps and NS +200bps 140.03$c Adjusted EPS +6.8% constant currency growth 88.0% OCF Conversion % Operating cash flow: $485.1m
Slide 15: Significant Cash Generation and Strong Balance Sheet
Significant Cash Generation and Strong Balance Sheet Cash Flow FY 2024 FY 2023 Cash Flow Operating cash flow (“OCF”) $485.1m $445.9m Strong operating performance delivering 88.0% OCF conversion % OCF conversion % (Target 80%+) 88.0% 90.4% Free cash flow (“FCF”) $402.5m $389.8m Balance Sheet Balance
Slide 16: Capital Allocation Framework
Capital Allocation Framework Focused on Free Cash Flow (“FCF”) generation. Disciplined approach to capital allocation, with continued dividend progression and additional shareholder return via share buybacks Strategic capex Dividends Automation, capacity, $104m Dividend increased by business integra
Slide 17: Exceptional Items
Exceptional Items $m FY 2024 FY 2023 • Group-wide transformation programme is focused on operating model optimisation, Group-wide transformation programme 18.0 6.0 supply chain efficiencies, digital enhancement and ongoing portfolio Acquisition and integration costs 5.7 - evaluation Pension related
Slide 18: Other Financial Matters
Other Other Financial FinancialMatters Matters Joint Ventures $12.4m decrease driven by higher input costs due to unfavourable market pricing dynamics Net Finance Increase of $14.5m mainly driven by the Flavor Producers acquisition Costs Income Tax FY 2024 effective tax rate 16.0%. Expected rate for
Slide 19: New Operating Model
New Operating Model Glanbia Nutritionals separated into Health & Nutrition and Dairy Nutrition Health & Nutrition Dairy Nutrition FY24 Pro forma $558.1m $1,474.9m Revenue* (+12.0% vs 2023) (+10.4% vs 2023) FY24 Pro forma $98.7m $147.2m EBITDA* (+9.2% vs 2023) (+22.0% vs 2023) FY24 Pro forma 17.7% 10
Slide 20: 2025 Outlook
2025 Outlook Navigating a challenging environment with double-digit increase in COGS in Performance Nutrition Revenue Earnings Capital growth growth allocation Performance Nutrition (“PN”) LFL PN EBITDA margin 13% - 14% OCF conversion 80%+ revenue* broadly in line with 2024 (excluding the impact of
Slide 21: Positioned for Long-Term Growth
Positioned for Long-Term Other Financial Matters Growth 1 Navigating short-term input cost volatility Transformation programme ongoing to drive 2 efficiencies across the Group and support the next phase of growth Focused on long-term growth with a leading 3 portfolio of Better Nutrition brands and i
Slide 22: Q&A
Q&A A performance driven purpose led global nutrition company 22 || Glanbia plc FY 2024 Results
Slide 23: Appendices
A Appendices 23 || Glanbia plc FY 2024 Results
Slide 24: US Cheese – FY 2024 Performance
US Cheese – FY 2024 Performance $m FY 2024 Growth* Revenue 1,025.3 +8.1% EBITDA 45.9 -14.7% EBITDA Margin % 4.5% (120bps) • Revenue growth* +8.1%: volume +0.1%, pricing +5.8%, 53rd week +2.2% • Price increases were primarily as a result of dairy market pricing • EBITDA decline* of -14.7% due to mark
Slide 25: GPN FY 2024 Revenue Overview
GPN FY 2024 Revenue Overview By Region By Channel By Format 4% 8% 12% 10% 36% 20% 33% 64% 35% 78% Total growth*: Total growth*: Total growth*: Americas -0.5% Online +4% Powders +5% International +2.3% FDMC +1% RTE -7% Distributor -2% RTD -15% Specialty -6% Other -15% 25 || Glanbia plc FY 2024 Result
Slide 26: Pro Forma Financials
Pro Forma Financials Pro forma* financials for change in reporting segments within Glanbia Nutritionals FY 2024 HY 2024 FY 2023 $m Pro forma Pro forma Pro forma Revenue Health & Nutrition 558.1 264.3 498.3 Dairy Nutrition 1,474.9 669.2 1,335.9 Glanbia Nutritionals 2,033.0 933.5 1,834.2 EBITDA (pre-e