GREENCORE GROUP PLC
FULL YEAR RESULTS STATEMENT
Food to go led strategy continues to drive growth
24 November 2015
Greencore Group plc, a leading international convenience food business, today issues its results for the year ended 25 September 2015.
FINANCIAL HIGHLIGHTS
- Group revenue of £1,340.3m, up 5.2% (as reported) and up 5.4% on a like for like1 basis
- Convenience Foods revenue of £1,290.2m, up 6.0% on a like for like1 basis
- Group operating profit2 up 10.6% to £91.7m
- Group operating margin2 of 6.8%, a 30 bps increase
- Growth in adjusted EPS3 of 13.2% to 18.0p
- Proposed final dividend of 3.75 pence per share, giving a total dividend of 6.15 pence per share, up 12.8%
- Net debt of £265.5m with net debt : EBITDA leverage as measured under financing agreements of 2.0 times
STRATEGIC DEVELOPMENTS
- Strong momentum, focus and investment behind food to go strategy in the UK and US resulting in 10.4% like for like revenue growth, well ahead of market performance
- Phase one extension of Northampton facility successfully completed and second phase well underway. We are today announcing further investment in the Northampton campus to support customer growth
- Roll out of new product range from extended Jacksonville facility in the US
- New build in Rhode Island coming on stream and work commenced on new build in Seattle
SUMMARY FINANCIAL PERFORMANCE
| FY15 | FY14 | Change | Change | |
| £m | £m | (as reported) | (like for like1) | |
| Group revenue | 1,340.3 | 1,273.5 | +5.2% | +5.4% |
| Group operating profit2 | 91.7 | 82.9 | +10.6% | |
| Group operating margin2 | 6.8% | 6.5% | +30 bps | |
| Adjusted PBT3 | 78.0 | 68.7 | +13.5% | |
| Adjusted EPS (pence)3 | 18.0 | 15.9 | +13.2% | |
| Proposed dividend per share (pence) | 6.15 | 5.45 | +12.8% | |
| Net debt | 265.5 | 212.1 | +£53.4m | |
| Return on Invested Capital (ROIC) | 14.1% | 13.7% | +40 bps | |
| Convenience Foods Division | ||||
| Revenue | 1,290.2 | 1,213.4 | +6.3% | +6.0% |
| Operating profit2 | 89.6 | 80.7 | +11.0% | |
| Operating margin2 | 6.9% | 6.7% | +20 bps |
Commenting on the results, Patrick Coveney, Chief Executive Officer, said:
“Greencore has had another strong year and our clear food to go led strategy has continued to drive growth in both the UK and US markets. We delivered 6% like for like revenue growth in Convenience Foods, 11% Group operating profit growth and our fifth consecutive year of double digit growth in adjusted EPS. We increased our investment in major capacity and capability improvement projects during the year, in each case underpinned by long term customer relationships. Our strategy, momentum and pipeline of opportunities leave us well placed to deliver further progress in FY16 and beyond.”
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