Glanbia's Consumer Products division delivered a 'satisfactory' performance last year, according to Glanbia plc's full year results for the year to end 29 December 2012, issued last week. Its Dairy Ireland business, which includes the Consumer Products and Agribusiness operations, saw revenues rise 2.4 per cent on a constant currency basis to €631 million.
'Consumers are still focused on price, which benefits discount retailers and private label products at the expense of mainstream retailers and branded products,' the company said. 'The outlook for Consumer Products remains challenging, reflecting Irish economic conditions, ongoing price competition and volatile input costs.'
Overall, Glanbia plc saw its pro forma total group revenues rise 4.8 per cent on a constant currency basis, to €2.88 billion. EBITA rose 9.4 per cent to €198.8 million.
It was a year of 'strategic reorganisation of the segmental structure of Glanbia', with the creation of the Glanbia Ingredients Ireland business, which the Group said 'has reduced its overall exposure to global dairy markets and potential earnings volatility'.
The year in question also saw the sale of the Yoplait Ireland franchise back to Yoplait for €18 million, however, Glanbia will continue to distribute the yoghurt brand.
Commenting on the Group's performance, Davy Stockbrokers said "Glanbia could not have begun its strategic transformation in better style with stronger-than-expected growth in FY 2012 and a positive growth expectation for the current year and thereafter." (22 March)
