IN BRIEF: Kerry confirms guidance after good quarter for Dairy Ireland

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Kerry Group PLC - Tralee, County Kerry-based provider of nutrition products for food, beverage and pharmaceutical markets - Confirms annual earnings guidance for 7% to 10% growth in adjusted earnings per share at constant currency. Adjusted EPS was 430.1 euro cents in 2023, suggesting a 2024 result of at least 460 cents. This is before taking into account currency movements, which Kerry says will be a headwind of about 1% on EPS.

The reiterated guidance comes as Kerry reports 3.2% volume growth in the third quarter, with 3.4% growth in the Taste & Nutrition division. The volume increase is partly offset by a 1.2% price decrease in both the group and its biggest division. In Dairy Ireland, volume is up 5.7% in the third quarter, while pricing is up 5.1%. In the year to date, however, Dairy Ireland volume growth is just 0.4% and pricing is down 3.1%. Even so, the division has achieve 120 basis points in earning margin growth so far this year.

Kerry has €1.9 billion in net debt as of the end of September. Despite this, Kerry earlier this month said it plans a new share buyback programme worth up to €300 million.

Current stock price: €94.05, up 2.5% in London on Thursday

12-month change: up 29%

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