Dairy group Glanbia said it expects a "disappointing" first-half performance from key joint ventures in the United Kingdom, United States, and Nigeria.
It said this was due to trading pressures brought on by dramatic increases in raw material prices.
Despite this the group said that overall its sees a "positive" first-half performance with earnings per share up by about 20 per cent compared with a flat performance a year ago.
The company said it sees the full year in line with the upper end of market expectations despite a cautious outlook for international joint ventures for the second half.
Glanbia said it expects to deliver strong profits, margins and earnings and stood by its earlier forecast of delivering strong double-digit growth for 2007.
Glanbia said its Consumer Foods and Agribusiness and Property unit performed broadly in line with expectations while its largest unit, Food Ingredients, delivered a strong performance in the first half.