Kerry expect strong second half as profits rise

Kerry Group reported a 12

Kerry Group reported a 12.8 per cent rise in first-half profit today and said it expected to meet market expectations for the year.

Kerry, which makes ingredients and flavourings as well as finished food products, posted pre-tax profit of €130.9 million for the six months to the end of June amid what it described as challenging trading conditions.

Adjusted earnings per share rose 11 per cent to 5 cents; revenues were up 8.3 per cent to €2.1 billion. Trading profit increased 6.2 per cent to €160 million.

Chief executive Hugh Friel said: "We expect further business improvements in the second half, with an outcome for the year in line with market expectations."

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The acquisition-hungry company said consolidation in the ingredients and foods sector would continue to provide further buying opportunities.

Earlier this month, Kerry bought British ready-made Asian food producer Noon Group for £124 million in a major expansion of its UK chilled ready-meals business.

Kerry declared an interim dividend of 5 cents per share, up 11 per cent on the same period last year.