Kerry Group Plc · EURONEXT:KRZ
Kerry — Q3 2024 Earnings Presentation
15 slides from Kerry's earnings presentation, Oct 24, 2024
Slide 1: Q3 2024 Results: The Future of Sustainable Nutrition
The Future of Sustainable Nutrition Q3 2024 Results 24 October 2024
Slide 2: Disclaimer: Forward Looking Statements
Disclaimer: Forward Looking Statements This presentation/announcement may contain forward looking statements with projections regarding, among other things, the Group’s strategy, revenues, earnings, EBITDA, EBITDA margin, finance costs, tax rate, capital expenditure, dividends, share buybacks, cash
Slide 3: Q3 2024 Results
Q3 2024 Results Edmond Scanlon Marguerite Larkin Chief Executive Officer Chief Financial Officer © Kerry 2024 | 3
Slide 4: Further Volume Progression and Strong Margin Expansion
Further Volume Progression and Strong Margin Expansion Taste & Nutrition EBITDA Volume Growth Margin Expansion 3.4% 3.2% +140bps 3.1% +120bps Q1 Q2 Q3 Taste & Nutrition Group © Kerry 2024 | 4
Slide 5: Kerry Investor Day 2024 – Key Messages
Kerry Investor Day 2024 – Key Messages 1. Americas The Winning Model 2. Foodservice A Structural Tailwind 3. Emerging Markets Winning Locally 4. Technology Portfolio Evolution Positioned For Growth 5. Penetration Growth Opportunity Greater Than Ever © Kerry 2024 | 5
Slide 6: Q3 YTD 2024 Financial Review
Q3 YTD 2024 Financial Review Group Volumes Group EBITDA Margin Net Debt +2.2% +140bps €1.9bn (Q3: +3.2%) © Kerry 2024 | 6
Slide 7: Group Revenue Analysis
Group Revenue Analysis Q3 YTD 2023 Q3 YTD 2024 -3.0% Translation FX Disposals -0.7% Volume Price -2.3% Transaction FX +2.2% -3.2% Acquisitions +0.2% +0.8% © Kerry 2024 | 7
Slide 8: Business Review: Taste & Nutrition Overview
Business Review: Taste & Nutrition Overview Volume growth led by continued strong foodservice performance • Volume growth of 3.2% (Q3: +3.4%) – ahead of food and beverage end markets • Pricing of -2.5% (Q3: -1.2%) reflected input cost deflation in places • EBITDA margin expansion of 120bps driven by
Slide 9: Business Review: Performance by Region
Business Review: Performance by Region AMERICAS EUROPE APMEA +3.5% -0.5% +5.4% (Q3: +3.7%) (Q3: +0.7%) (Q3: +5.1%) • North America growth led by • Volumes turned positive in Q3, • Strong performance in Middle Snacks, Bakery and Beverage with YTD performance reflecting East & Africa with China market
Slide 10: Business Review: Dairy Ireland
Business Review: Dairy Ireland Good EBITDA performance led by Dairy Consumer Products • Volume +0.4% (Q3: +5.7%) reflecting growth in Dairy Consumer Products in snacking and branded cheese range, offset by soft overall market supply conditions in Dairy Ingredients, which improved through the period
Slide 11: Outlook and Future Prospects
Outlook and Future Prospects • Kerry has a good innovation pipeline and remains well positioned for good volume growth and strong margin expansion, while recognising market dynamics remain relatively unchanged. • The Group will continue to develop its business and portfolio aligned to its strategic
Slide 12: Appendix
APPENDIX © Kerry 2024 | 12
Slide 13: Volume Growth Rates
Volume Growth Rates Q1 Q2 Q3 Q3 YTD Americas 3.6% 3.2% 3.7% 3.5% Europe (1.4%) (0.5%) 0.7% (0.5%) APMEA 4.8% 6.2% 5.1% 5.4% Taste & Nutrition 3.1% 3.2% 3.4% 3.2% Dairy Ireland (3.0%) (1.2%) 5.7% 0.4% Group 1.9% 1.5% 3.2% 2.2% © Kerry 2024 | 13
Slide 14: Financial Metrics Definitions
Financial Metrics Definitions Volume Growth Free Cash Flow This represents the sales growth period-on-period, excluding pass- Free cash flow is EBITDA plus movement in average working capital, through pricing on input costs, currency impacts, acquisitions, capital expenditure net (purchase of assets
Slide 15: Q3 2024 Results: The Future of Sustainable Nutrition
The Future of Sustainable Nutrition Q3 2024 Results 24 October 2024