Kerry Group Chief Executive to Retire as 2016 Results Show 7.1 Percent Trading Profit Increase
Trading profit for the food company, Kerry Group, increased by 7.1% to €750 million in 2016, according to preliminary results released on Tuesday.
The report also announced that Stan McCarthy, who became Chief Executive of the Group in January 2008, will retire as Chief Executive on September 30 and as a Director of the Group at year-end. Edmond Scanlon has been appointed Chief Executive Designate to succeed McCarthy on his retirement. Scanlon is currently President and CEO Kerry Asia Pacific.
“In 2016 Kerry delivered good volume growth and a strong financial performance including sustained business margin expansion, record free
cash generation and 7.1% growth in adjusted earnings per share,” McCarthy said. “The Group remains confident of its ability to sustain profitable growth throughout global markets. In 2017 we expect to achieve good revenue growth and 5% to 9% growth in adjusted earnings per share”.
The report noted that earnings per share also increased by 7.1% and that the group recorded a revenue of €6.1 billion reflecting 3.6% business volume growth.
The report said that there was increased volatility, partially caused by the Brexit vote and the associated Sterling devaluation, however noted that the Kerry Group responded well, seeing healthy eating trends continue to drive ‘nutritionally minded’ consumer choice. The report said that, as well as a growing ‘away-from-home’ consumption trend and increased market fragmentation through retail, foodservice and ecommerce channels, “the overall marketplace was marked by significant product ‘churn’ as food and beverage providers targeted growth opportunities through differentiated, innovative product offerings”.
The full report can be read here.
