Volume growth, increased pricing drive Kerry Group revenue in 2021

Kerry Group reported strong overall growth across all regions with group revenue of €7.4 billion (£6.17bn), driven by volume growth of 8 per cent.

The revenue increased by 5.7 per cent, according to the preliminary statement of results for the year ended 31 December 2021.

Besides the strong volume growth, albeit against lower prior year comparatives, the group also benefitted from increased pricing of 1.2 per cent, which reflected increases in input costs through the year.

Group trading profit increased by 9.8 per cent to €875.5m.

The group’s Taste & Nutrition and Consumer Foods businesses delivered strong volume growth of 8.3 per cent and 6 per cent respectively.

Taste & Nutrition reported revenue increased by 9 per cent to €6.3 billion in the year, with retail channel volume growth of 5.4 per cent and foodservice growth of 18 per cent against lower comparatives.

Consumer Foods reported revenue, however, decreased in the year by 10.5 per cent to €1.1 billion, mainly due to the impact of the sale of the Meats and Meals business to Pilgrim’s Pride, which was completed on 27 September 2021.

“We ended the year on a strong note with excellent growth across our business,” said Edmond Scanlon, chief executive. “This growth was well spread across our end use markets, with Beverage, Bakery and Meat delivering particularly strong performances.”

“While recognising that current market environment and inflationary pressures continue to present challenges across our industry, Kerry is stronger positioned and more resilient than ever as we enter a new strategic cycle. Our earnings guidance range for 2022 reflects the group’s strong growth prospects and the net effect of recent portfolio developments.”

Kerry expects to achieve adjusted earnings per share growth in 2022 of 5 to 9 per cent on a constant currency basis.