TRALEE, IRELAND — Sales revenue in the Americas region at Kerry Group in the fiscal year ended Dec. 31, 2018, increased by 2.5% to €2,745 million ($3,113 million), reflecting volume growth of 2.8%, lower pricing of 0.5%, business acquisitions of 6.2% and an adverse currency translation impact of 6%.
“High levels of product churn continued across the marketplace, as consumer demands for clean label, new world taste experiences and new convenience formats continued to evolve at pace in both the retail and food service channels,” Kerry said on Feb. 19. “These changing dynamics continued to weigh on center-of-store categories. Kerry delivered volume growth ahead of the market by winning market share through innovation across different customer categories.”
The North American meat sector continued to deliver strong growth, as the company’s product met consumer demands for authentic ethnic flavors, natural shelf-life preservation and a broader range of alternative protein-based products.
Kerry’s snacks business performed well, with growth noted through innovative healthier savory snacks. Kerry said the cereal category was challenged as traditional consumption occasions continued to decline.
Globally, Kerry’s Taste & Nutrition business posted revenue of €5,350.6 million ($6,067 million), up 3.7% from the previous year behind volume growth of 4.1%. Trading profit of €805.3 million was up 4.9%. Kerry’s Consumer Foods business in the fiscal year reported revenue of €1,339 million as volume growth increased 1.1%. Trading profit of €100.1 million was down 7.2%.
Tralee-based Kerry Group overall reported revenue of €6,607.6 million in fiscal 2018, up 3.1% from €6,407.9 million in the previous year. Trading profit also increased 3.1%, rising to €805.6 million from €781.3 million. Adjusted earnings after taxation were €624.4 million, up 2.7% from €601.9 million.