REG - Glanbia PLC - Glanbia Half Year 2025 Results
13/08/2025 07:00
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RNS Number : 0712V Glanbia PLC 13 August 2025
Glanbia Half Year 2025 results
Resilient performance with adjusted EPS(1) ahead of expectations; full year
guidance upgraded
13 August 2025 - Glanbia plc ("Glanbia" or the "Group"), the 'Better Nutrition
company', announces its half year results for the six month period ended 5
July 2025 ("Half Year 2025" or "HY 2025").
HY 2025 Highlights(2):
· First half momentum with volume growth across Health &
Nutrition and Dairy Nutrition and sequential improvement in Performance
Nutrition, resulting in an upgrade to full year adjusted EPS guidance;
· Glanbia announces that Paul Duffy will be appointed Company Chair
on 1 January 2026 in place of Donard Gaynor who will retire on 31 December
2025;
· Group Financial Performance:
o Group revenues of $1.93 billion (HY 2024: $1.82 billion), an increase of
6.0% (+6.1% reported) with volume +0.9%, pricing +3.4% and +1.7% from
acquisitions;
o Group EBITDA pre-exceptional of $241.3 million (HY 2024: $261.6 million),
a decrease of 7.5% (down 7.8% reported);
o Adjusted EPS of 63.03 $cent (HY 2024: 68.20 $cent), a decline of 7.5%
(down 7.6% reported);
· Performance Nutrition ("PN"):
o Revenue decline of 3.8% (3.6% reported) (decline of 1.5% excluding the
impact of SlimFast and Body & Fit) with volume -3.5% and pricing -0.3%;
o Optimum Nutrition delivered a LFL revenue decline of 0.5%, with sequential
improvement through the period with revenue growth versus the prior year of 2%
in Q2 (volume +1.5%, pricing +0.5%);
o EBITDA margin of 12.7% (HY 2024: 17.7%), a decrease of 490bps as a result
of elevated whey input costs;
· Health & Nutrition ("H&N")(3):
o Revenue growth of 18.0% (18.4% reported) with volume +6.9%, pricing -0.4%
and +11.5% from acquisitions;
o EBITDA margin of 19.5% (HY 2024: 16.9%), an increase of 260bps;
· Dairy Nutrition ("DN")(3):
o Revenue growth of 14.1% with volume +4.3% and pricing +9.8%;
o EBITDA margin of 9.5% (HY 2024: 9.0%), an increase of 50bps;
· Capital allocation:
o Strong balance sheet with net debt to adjusted EBITDA ratio of 1.28 times
(HY 2024: 1.22 times);
o Interim dividend increased by 10% to 17.20 €cent and €62.8 million
returned via share buyback programmes.
Strategic Updates:
· Agreement reached for the acquisition of Sweetmix, a Brazil-based
nutritional premix and ingredients solutions business within the H&N
division;
· Good progress on transformation programme, targeting annual
savings of at least $50m per annum by 2027;
· Agreement reached for the sale of Body & Fit, the Benelux
Direct-to-Consumer e-commerce business;
· Capital Markets Day to be held on 19(th) November to update on
the Group's medium-term growth agenda.
FY 2025 Outlook Upgrades:
· Group adjusted EPS in the range of 130 to 133 $cent(4)
(previously 124 to 130 $cent);
· PN like-for-like revenue growth (excluding SlimFast and Body
& Fit) of 2 to 3% (previously in line with 2024); and
· H&N EBITDA margin in the range of 18-19% (previously 17-18%).
________________________________________
(1) Adjusted Earnings Per Share on a constant currency basis
(2) All changes are shown on a constant currency basis unless otherwise
stated.
(3) On 6 November 2024, Glanbia announced a change in the operating model,
separating Glanbia Nutritionals into two new segments, Health & Nutrition
("H&N") and Dairy Nutrition ("DN"). From 5 January 2025, Glanbia has
reported results in line with the revised segment structure. Comparative
segment information for half year 2024 was restated for comparability
purposes. The change does not impact total Group or Performance Nutrition
revenues or margins. This change is referenced in Note 2 ('Basis of
preparation') of the interim financial statements.2024 was restated for
comparability purposes. The change does not impact total Group or Performance
Nutrition revenues or margins. This change is referenced in Note 2 ('Basis of
preparation') of the interim financial statements.
(4) Adjusted EPS of 130 - 133 $cent translates to a decline of approximately
-7% to -5% on a constant currency basis.
Commenting today Hugh McGuire, Chief Executive Officer, said:
"Today's results reflect a first half of significant execution and progress as
we generated 6% revenue growth in the period, underpinned by strong growth in
H&N and DN and a sequential improvement in PN through the period as the
Group navigated significant macroeconomic volatility.
First half results were driven by volume growth, earnings and margin
progression in H&N and DN, reflecting strong customer demand. This was
offset by anticipated reduced performance in PN primarily as a result of
elevated whey costs during the period. In the second quarter, we were pleased
to see volume and price growth in our flagship brand, Optimum Nutrition.
Within our H&N division, we have today announced the acquisition of
Sweetmix, a Brazil-based nutritional premix and ingredients solutions
business, facilitating continued growth in the Latin America region.
We delivered strong operating returns and cash conversion and continue to have
a disciplined approach to capital allocation, with a 10% increase in the
interim dividend and €62.8 million returned to shareholders via share
buyback programmes during the period.
We are today upgrading our full year adjusted EPS guidance to 130 to 133
$cent(5) as a result of increased revenue momentum in PN and improved margins
in H&N. The category trends remain positive, and we expect to see
continued improvement in volumes across PN in the second half of the year with
continued momentum in H&N and DN."
Summary financials(6)
2025 half year results Constant
HY 2025 HY 2024 Reported Change currency change(7)
$m
Income Statement
Revenue 1,926.7 1,815.6 6.1% 6.0%
EBITDA 241.3 261.6 (7.8%) (7.5%)
EBITDA margin 12.5% 14.4% (190bps) (180bps)
Joint Venture
Share of profit after tax (pre-exceptional) 3.4 3.7
Profit after tax (pre-exceptional) 132.0 152.5
Adjusted EPS 63.03c 68.20c (7.6%) (7.5%)
Basic EPS 39.04c 54.71c (28.6%) (28.4%)
________________________________________
(5) Adjusted EPS of 130 to 133 $cent translates to a decline of approximately
-7% to -5% on a constant currency basis
(6) This release contains alternative performance measures. Detailed
explanations of the key performance indicators and non-IFRS measures can be
found in the glossary on pages 35 to 40
(7) To arrive at the constant currency change, the average exchange rate for
the current period is applied to the relevant result from the same period in
the prior year. The average US dollar euro exchange rate for HY 2025 was $1 =
€0.9113 (HY 2024: $1 = €0.9247). All movements in the table are on a
pre-exceptional basis.
HY 2025 results summary (pre-exceptional)
Revenue progression HY 2025 versus HY 2024*
Constant Currency Movement
Volume Price Like-for-like (LFL) Acquisitions / (disposals) Total constant currency
Performance Nutrition (3.5%) (0.3%) (3.8%) - (3.8%)
Health & Nutrition 6.9% (0.4%) 6.5% 11.5% 18.0%
Dairy Nutrition 4.3% 9.8% 14.1% - 14.1%
Group Total 0.9% 3.4% 4.3% 1.7% 6.0%
Revenue, EBITDA and Margin HY 2025 HY 2024*
$m Revenue EBITDA Margin % Revenue EBITDA Margin %
Performance Nutrition 850.0 108.2 12.7% 882.1 156.4 17.7%
Health & Nutrition 313.0 60.9 19.5% 264.3 44.7 16.9%
Dairy Nutrition 763.7 72.2 9.5% 669.2 60.5 9.0%
Group Total 1,926.7 241.3 12.5% 1,815.6 261.6 14.4%
*Health & Nutrition and Dairy Nutrition restated to reflect the changes in
reportable segments.
2025 half year overview
Glanbia delivered a resilient financial and operating performance in HY 2025.
Group revenue was $1,926.7 million (HY 2024: $1,815.6 million), up 6.0%
constant currency (up 6.1% reported). Group EBITDA (before exceptional items)
was $241.3 million (HY 2024: $261.6 million), down 7.5% constant currency
(down 7.8% reported). Group pre-exceptional profit after tax was $132.0
million (HY 2024: $152.5 million) down 13.3% constant currency (down 13.4%
reported).
Adjusted EPS was 63.03 $cent (HY 2024: 68.20 $cent), down 7.5% constant
currency (down 7.6% reported).
Balance sheet and financing
Glanbia's net debt at 5 July 2025 was $650.0 million (HY 2024: $645.4 million)
which represents an increase of $4.6 million versus prior year. Net debt to
adjusted EBITDA was 1.28 times (HY 2024: 1.22 times). At the end of the period
the Group had committed debt facilities of $1.37 billion (HY 2024: $1.30
billion). Glanbia's ability to generate cash and its available debt facilities
ensure the Group has considerable capacity to finance future investments.
Capital investment
Glanbia's total investment in capital expenditure (strategic and maintenance)
was $47.7 million in the first half of 2025 (HY 2024: $44.9 million).
Strategic investment totalled $34.2 million and included ongoing capacity
enhancement, business integrations, and IT investments to drive further
efficiencies in operations. Total capital expenditure for the year is expected
to be between $80 million and $90 million.
Dividend per share
The Board is recommending an interim dividend of 17.20 €cent per share (HY
2024: 15.64 €cent per share) representing a 10% increase on the prior year
interim dividend. Glanbia's overall dividend policy remains unchanged at a
target annual dividend payout ratio of between 25% and 35% of adjusted EPS.
The interim dividend will be paid on 3 October 2025 to shareholders on the
register of members as at 22 August 2025. Irish withholding tax will be
deducted at the standard rate where appropriate. Euro remains the Group's
primary dividend payment currency.
Share buyback
On 6 November 2024, the Group announced a €50 million share buyback
programme which formally commenced on 16 December 2024. This programme was
completed on 30 May 2025 and another €50 million share buyback programme
launched on 4 June 2025. Year-to-date to 5 July 2025, Glanbia has deployed
€62.8 million, repurchasing 5,095,246 ordinary shares on Euronext Dublin at
an average price of €12.33. A further €50 million share buyback programme
is expected to be concluded prior to year end.
Company Chair
Glanbia announces that with effect from today it is appointing Independent
Non-Executive Director, Paul Duffy, Chair Designate and that he will succeed
Donard Gaynor as Chair of the Company on 1 January 2026. Mr Gaynor will retire
as Chair and from the Board of the Company on 31 December 2025.
This follows a comprehensive Chair succession process which was led by the
Senior Independent Director, Roisin Brennan.
Mr Duffy has been a director of Glanbia plc since 1 March 2021 and has
significant global business experience in the consumer sector. A separate
announcement published today details Mr Duffy's skills and experience as well
as any required regulatory disclosures.
Board update
During the period, Bill Carroll was appointed to the Board of Glanbia on 12
June 2025 as Tirlán Co-operative Society Limited's nominee in place of Gerard
O'Brien who retired on 11 June 2025. Senan Murphy was appointed to the Board
of Glanbia on 30 April 2025. On appointment, Mr Murphy also joined the Audit
and Sustainability committees of the Board and was appointed Chairman of the
Sustainability committee. Also on this date, Dan O'Connor retired from the
Board and Ilona Haaijer stepped down from the Audit Committee.
2025 Outlook
Today, the Group is upgrading its guidance for adjusted EPS to 130 - 133
$cent(8) (previously 124 - 130 $cent). This is expected to be driven by:
· PN like-for-like revenue growth of 2% - 3% (excluding the impact
of SlimFast and Body & Fit);
· PN EBITDA margins in the range of 13% - 14%;
· H&N like-for-like revenue growth of mid-single digit;
· H&N EBITDA margin in the range of 18% - 19%; and
· Profit growth across DN and the Group's US joint venture,
combined.
Glanbia also expects to deliver an operating cash flow conversion rate of 80%+
in FY 2025.
________________________________________________________
8 Adjusted EPS of 130 to 133 $cent translates to a decline of approximately
-7% to -5% on a constant currency basis
Half year 2025 operations review
(Commentary on percentage movements is on a constant currency basis
throughout)
Performance Nutrition
$m HY 2025 HY 2024 Reported Constant
change currency change
Revenue 850.0 882.1 (3.6%) (3.8%)
EBITDA 108.2 156.4 (30.8%) (30.5%)
EBITDA margin 12.7% 17.7% (500bps) (490bps)
· LFL revenue decline of 3.8% with volume -3.5% and pricing -0.3%.
· Excluding SlimFast and Body & Fit, which have been designated
as non-core, revenue declined by 1.5%.
· Optimum Nutrition LFL revenue decline of 0.5%; EBITDA margin of
12.7%, a decrease of 490bps versus HY 2024 due to a significant increase in
input costs.
PN revenue decreased by 3.8% in HY 2025 versus prior year. This was driven by
a 3.5% decrease in volume and a 0.3% decrease in price. The volume decline was
largely driven by anticipated challenges in the US club and specialty channels
and declines in non-core brands, partly offset by good growth in online and
FDM channels. International markets delivered volume and pricing growth across
primary markets, in particular Asia Pacific.
PN Americas revenue declined by 8.7% and PN International revenue increased by
4.9%. Price increases that were implemented across international markets
during the first quarter of the year were offset by some tactical price
reductions on specific products globally.
Optimum Nutrition, which represents 67% of GPN revenue, delivered a revenue
decline of 0.5%, but the brand saw good momentum in the second quarter with
positive revenue growth. Optimum Nutrition delivered improved US measured
consumption with growth of 1.0%(9) while the healthy lifestyle portfolio
(Isopure, think! and Amazing Grass) delivered US measured consumption decline
of 5.8%(9) primarily as a result of certain promotional activities in 2024 not
repeated this year.
In line with previous announcements regarding non-core brands, Glanbia has
signed an agreement for the sale of Body & Fit, the Benelux
Direct-to-Consumer e-commerce business, subject to certain customary
deliverables, with completion expected to occur in Q4 2025.
PN EBITDA decreased by 30.5% versus prior year to $108.2 million and EBITDA
margin decreased by 490 basis points to 12.7%, driven by inflation in whey
protein. EBITDA margins are expected to improve in the second half of 2025.
________________________________________________________
(9) Consumption growth is US measured channels and includes Online, FDMC
(Food, Drug, Mass, Club) and Specialty channels. Data compiled from published
external sources and Glanbia estimates for the 13 week period to 5 July 2025
Health & Nutrition
Health & Nutrition is a leading global nutritional solutions business,
providing value added ingredient and flavour solutions to a range of
attractive, high-growth end markets.
$m HY 2025 HY 2024* Change Constant
currency change
Revenue 313.0 264.3 18.4% 18.0%
EBITDA 60.9 44.7 36.2% 35.9%
EBITDA margin 19.5% 16.9% 260bps 260bps
*Restated to reflect the changes in reportable segments.
· LFL revenue increase of 6.5% with volume +6.9% and pricing -0.4%.
· Strong volume performance in both premix and flavour solutions
businesses. EBITDA margin of 19.5%, an increase of 260bps versus HY 2024.
H&N revenue increased by 18.0% in HY 2025 versus prior year. This was
driven by a 6.9% increase in volume and an 11.5% increase from the impact of
acquisitions, somewhat offset by a price decrease of 0.4%. The volume increase
was driven by good growth across both premix and flavour solutions businesses,
with particularly strong growth in international regions. Price decrease was
driven by certain pass through pricing with customers.
H&N EBITDA increased by 35.9% versus prior year to $60.9 million and
EBITDA margin increased by 260 basis points to 19.5%. This was predominantly
due to the addition of Flavor Producers to the portfolio and strong volume
performance.
H&N Acquisitions
The Flavor Producers business, acquired in April 2024, is performing well and
the integration is substantially complete. Glanbia has completed the
acquisition of Sweetmix, a Brazil-based nutritional premix and ingredients
solutions business, for an initial consideration of $41 million plus
contingent consideration. This acquisition will enable H&N to continue to
expand in Latin America. Revenue for Sweetmix in 2024 was approximately $17
million.
Dairy Nutrition
Dairy Nutrition is a leading producer of whey protein isolate and
American-style cheddar cheese in the US and provides a range of dairy and
functional protein solutions.
$m HY 2025 HY 2024* Change Constant
currency change
Revenue 763.7 669.2 14.1% 14.1%
EBITDA 72.2 60.5 19.3% 19.5%
EBITDA margin 9.5% 9.0% 50bps 50bps
*Restated to reflect the changes in reportable segments.
· LFL revenue increase of 14.1% with volume +4.3% and pricing
+9.8%.
· EBITDA margin of 9.5%, an increase of 50bps versus HY 2024.
DN revenue increased by 14.1% in HY 2025 versus prior year. This was driven by
a 4.3% increase in volume and a 9.8% increase in price driven by favourable
dairy markets and strong whey protein demand. The volume increase was driven
by strong growth in protein solutions particularly targeting the high protein
ready to eat category and we continue to see good demand for colostrum, which
targets gut health and immunity.
DN EBITDA increased by 19.5% versus prior year to $72.2 million and EBITDA
margin increased by 50 basis points to 9.5%. This was predominantly due to
strong dairy market pricing.
Joint Venture (Glanbia share)
$m - pre-exceptional HY 2025 HY 2024 Change
Share of joint venture profit after tax 3.4 3.7 (0.3)
The Group's share of joint venture profit after tax pre‐exceptional items
decreased by $0.3 million to $3.4 million.
Half Year 2025 Finance Review
Half year 2025 results summary (pre-exceptional) Constant currency
$m HY 2025 HY 2024 Change change
Revenue 1,926.7 1,815.6 6.1% 6.0%
EBITDA 241.3 261.6 (7.8%) (7.5%)
EBITDA margin 12.5% 14.4% (190) bps (180) bps
- Amortisation of intangible assets (38.6) (38.9)
- Depreciation of PPE & ROU Assets (37.8) (35.1)
- Net finance costs (13.6) (10.4)
- Share of results of joint venture 3.4 3.7
- Income taxes (22.7) (28.4)
Profit for the period 132.0 152.5
Basic EPS 39.04c 54.71c (28.6%) (28.4%)
Adjusted EPS 63.03c 68.20c (7.6%) (7.5%)
Revenue
Revenue increased by 6.0% versus prior half year on a constant currency basis
(+6.1% reported) to $1.93 billion, driven by volume increases of 0.9%, pricing
increases of 3.4% and M&A related increase of 1.7%. Detailed analysis of
revenue is set out within the operations review.
EBITDA
EBITDA before exceptional items decreased by 7.5% constant currency (-7.8%
reported) to $241.3 million (HY 2024: $261.6 million), with EBITDA margin
decline of 180 basis points constant currency (-190 bps reported) to 12.5% (HY
2024: 14.4%). Detailed analysis of EBITDA is set out within the operations
review.
Net finance costs
Net finance costs increased by $3.2 million to $13.6 million (HY 2024: $10.4
million). The increase was driven primarily by a reduction in interest income
as a result of lower average cash at HY 2025 versus HY 2024. The Group's
average interest rate on a rolling 12 month basis to 5 July 2025 was 4.4% (HY
2024: 3.4%). Glanbia operates a policy of fixing a significant proportion of
its interest rate exposure.
Share of results of joint venture
The Group's pre-exceptional share of joint venture profits decreased by $0.3
million to $3.4 million (HY 2024: $3.7 million). The decrease was driven by
dairy market dynamics. The share of results of joint venture is stated after
tax.
Income taxes
The half year 2025 pre-exceptional tax charge decreased by $5.7 million to
$22.7 million (HY 2024: $28.4 million). This represents an effective tax rate,
excluding joint venture, of 15.0% (HY 2024: 16.0%) and is in line with
expectation. The Group currently expects that its effective tax rate for FY
2025 will be in the range of 14% to 16%.
Exceptional items
Exceptional items incurred in the first half of 2025 resulted in a net
post-tax exceptional charge of $32.6 million (HY 2024: $9.2 million). Details
of the exceptional items incurred in the period are as follows:
$m HY 2025 HY 2024
Group-wide transformation programme (note 1) 28.3 6.0
Impairment of non-core assets held for sale (note 2) 8.7 -
Acquisition and integration costs (note 3) 3.1 5.0
Pension related costs (note 4) 0.1 0.2
Total 40.2 11.2
Exceptional tax credit (7.6) (2.0)
Total exceptional charge for the period 32.6 9.2
1. Group-wide transformation programme: During 2023 the Group commenced a
number of initiatives to realign support functions and optimise structures to
more efficiently support business operations and growth. On 6 November 2024, a
group-wide transformation programme was announced to drive efficiencies across
the new operating model and support the next phase of growth. This multi-year
programme is focused on driving efficiencies across the Group's operating
model and supply chains while leveraging the Group's digital transformation
capabilities.
2. Impairment of non-core assets held for sale: The charge relates to fair
value adjustments to reduce the carrying value of assets held for sale to fair
value less costs to sell. The assets relate to the Benelux Direct-To-Consumer
(DTC) online branded business (Body & Fit Sportsnutrition B.V.). Following
the completion of a portfolio review, these assets and liabilities were
determined to be non-core and a decision was made to divest of them, resulting
in the designation as held for sale at 2024 year end. The divestment was
substantially completed subsequent to the half year reporting date and is
disclosed as a post balance sheet event in note 19.
3. Acquisition and integration costs: These costs relate to the
transaction and integration costs associated with the Flavor Producers
business.
4. Pension related costs: These costs relate to the restructure of certain
legacy defined benefit pension schemes in the UK. Final wind up is anticipated
in 2026.
Profit after tax
Profit after tax for the half year was $99.4 million compared to $143.3
million in HY 2024, comprising pre-exceptional profit of $132.0 million (HY
2024: $152.5 million) and exceptional charges of $32.6 million (HY 2024: $9.2
million).
Earnings per share (EPS)
The decrease in basic EPS is largely due to lower operating profit and an
increase in exceptional charges, as outlined above.
Adjusted EPS is a key performance indicator ("KPI") of the Group and a key
metric guided to the market and a key element of Executive Director and senior
management remuneration. Adjusted EPS decreased by 7.5% constant currency
(-7.6% reported). Full year 2025 adjusted EPS is expected to be in the range
of 7% to 5% decline on a constant currency basis versus prior year.
Cash flow
The principal cash flow KPIs of the Group and business segments are Operating
Cash Flow ("OCF") and Free Cash Flow ("FCF"). Refer to G 6.1 and G 6.2 of the
glossary included in the interim financial statements for the definition of
these measures. These metrics are used to monitor the cash conversion
performance of the Group and Business Units and identify available cash for
strategic investment. OCF conversion, which is OCF as a percentage of EBITDA,
is a key element of the Executive Directors and senior management
remuneration. OCF and FCF half year results for the Group are outlined below.
$m HY 2025 HY 2024
EBITDA (pre-exceptional) 241.3 261.6
Movement in working capital (pre-exceptional) (182.4) (148.2)
Business-sustaining capital expenditure (13.5) (14.6)
Operating cash flow 45.4 98.8
Net interest and tax paid (41.7) (26.0)
Payment of lease liabilities (11.8) (10.7)
Other outflows (11.5) (8.5)
Free cash flow (19.6) 53.6
Strategic capital expenditure (34.2) (30.3)
Dividend paid to Company shareholders (67.4) (59.6)
Share buyback (purchase of own shares) (68.3) (54.0)
Proceeds from disposal of property, plant and equipment - 1.9
Exceptional costs paid (18.3) (9.1)
Acquisitions/disposals - (298.8)
Net cash flow (207.8) (396.3)
Exchange translation (6.2) (2.1)
Cash acquired on acquisition - 1.7
Net debt movement (214.0) (396.7)
Net debt at the beginning of the period (436.0) (248.7)
Net debt at the end of the period (650.0) (645.4)
OCF was an inflow of $45.4 million (HY 2024: $98.8 million) and represents a
cash conversion on EBITDA of 18.8% (HY 2024: 37.8%) in the period. The
decrease in OCF versus prior period was due primarily to decreased EBITDA and
reduced working capital performance. Full year OCF conversion is expected to
be in line with the 80%+ target.
FCF was an outflow of $19.6 million (HY 2024: inflow of $53.6 million), with
the movement since prior period primarily as a result of movements in OCF
outlined above and an increase in interest and tax payments.
Capital allocated for the benefit of shareholders includes regular dividend
payments of $67.4 million (HY 2024: $59.6 million) and the execution of share
buyback programmes of $68.3 million (HY 2024: $54.0 million).
Acquisition spend in the prior year relates to the acquisition of Flavor
Producers.
Capital expenditure
The cash outflow relating to capital expenditure for half year 2025 amounted
to $47.7 million (HY 2024: $44.9 million) which includes $13.5 million of
business-sustaining capital expenditure and $34.2 million of strategic capital
expenditure.
Group financing
Financing key performance indicators HY 2025 HY 2024
Net debt: adjusted EBITDA* 1.28 times 1.22 times
Adjusted EBIT: adjusted net finance cost* 14.0 times 28.0 times
*The measures above are calculated on a rolling 12 month basis (a period of 12
consecutive months determined on a rolling basis with a new 12
month period beginning on the first day of each month).
The Group's financial position remains strong. Net debt at the 2025 half year
was $650.0 million. This represents an increase of $4.6 million from the prior
half year net debt of $645.4 million. At half year 2025, Glanbia had committed
debt facilities of $1.37 billion (HY 2024: $1.30 billion) with a weighted
average maturity of 3.2 years (HY 2024: 4.3 years). Glanbia's ability to
generate cash as outlined above and available debt facilities ensures the
Group has considerable capacity to finance future investments. Net debt to
adjusted EBITDA was 1.28 times (HY 2024: 1.22 times) and interest cover was
14.0 times (HY 2024: 28.0 times), with both metrics remaining well within
financing covenants.
Pension
The Group's net pension position under IAS 19 (revised) 'Employee Benefits',
before deferred tax, improved by $1.5 million since 4 January 2025, resulting
in a net pension asset of $12.5 million as at 5 July 2025. The defined benefit
pension position is calculated by discounting the estimated future cash
outflows using appropriate corporate bond rates. Restructuring of certain
legacy defined pension schemes in the UK which began in 2021 is ongoing.
Favourable market conditions resulted in actuarial gains in the period,
resulting in an increase in the net asset position at period end.
Dividends
Glanbia's overall dividend policy remains unchanged at a target annual
dividend payout ratio of between 25% and 35% of adjusted EPS. In line with
this policy, the Board is recommending an interim dividend of 17.20 €cent
per share (HY 2024: 15.64 €cent per share). The dividend will be paid on 3
October 2025 to shareholders on the register of members as at 22 August 2025.
Irish withholding tax will be deducted at the standard rate where appropriate.
Share buyback
In December 2024, the Group commenced an initial €50.0 million share buyback
programme under a €100.0 million share buyback authority. The first tranche
concluded on 30 May 2025 and a second €50.0 million share buyback commenced
on 4 June 2025. A total of $68.3 million (HY 2024: $54.0 million) was deployed
under this programme in the period. A third €50 million share buyback
programme is expected to be concluded prior to year end.
Foreign exchange
While the Group reports its results in US dollar, it generates a proportion of
its earnings in currencies other than US dollar, in particular euro. Constant
currency reporting is used by the Group to eliminate the translational effect
of foreign exchange on the Group's results. To arrive at the constant currency
period-on-period change, the results for the prior period are retranslated
using the average exchange rates for the current period and compared to the
current period reported numbers. The principal average exchange rates used to
translate results for 2025 and 2024 are outlined below:
HY 2025 FY 2024 HY 2024
1 US Dollar converted to euro 0.9113 0.9246 0.9247
Financial strategy
Glanbia's financial strategy is very much aligned with its overall strategy of
ensuring the Group delivers on its key financial goals. Specific financial
goals to enable this strategy include:
· Assessing both external and organic investment opportunities
against a target benchmark of 12% return after tax by end of year three;
· Focusing the organisation on cash conversion through improved
working capital management and disciplined business-sustaining capital
expenditure, with a goal of greater than 80% cash conversion as a percentage
of EBITDA;
· Leveraging the Group's activities to enable improved cost
structures utilising shared services, procurement, IT and a continuous
improvement mindset;
· Maintaining the capital structure of the Group within an implicit
investment-grade credit profile; and
· Capital allocation policy to return capital to shareholders which
includes a dividend policy with a payout ratio of between 25% and 35% and the
authorisation to implement a share buyback programme.
Principal risks and uncertainties
The Board of Glanbia plc has the ultimate responsibility for the Group's
systems of risk management and internal control. The Group's risk management
framework outlines the key stakeholder risk management responsibilities. It is
strategically designed to foster risk awareness and ensure active
participation across all levels of the business to the management of risk. A
primary objective is to enable the Group to remain responsive to the dynamic
environment in which it operates. This framework, together with the processes
to identify, manage and mitigate potential material key risks to the
achievement of the Group's strategic objectives are set out in detail on pages
64 - 77 of Glanbia plc's 2024 Annual Report.
The Group's principal risks and uncertainties, which are summarised in the
risk profile table below, continue to remain relevant and unchanged from the
risks reported for the year ended 04 January 2025. While no new principal
risks were identified during the year, the underlying risk trend and potential
impacts of some of these risks has evolved including:
· Geopolitical risk, Economic and Industry risk, Market Disruption
risk and Cyber Security and Data Protection risk continue to trend upwards.
This is driven by ongoing geopolitical instability, global tariff and trade
tensions, the rapid pace of technological advancement, particularly in AI, and
persistent global threats to cybersecurity controls.
· The overall risks associated with climate change have stabilised
during the period. The progress we are making to comply with the EU Corporate
Sustainability Reporting Directive ("CSRD"), along with our continued
commitment to managing our environmental impact, particularly in meeting our
Scope 1 and Scope 2 emission targets, has contributed to a more controlled
risk environment. The updates to climate regulations have also helped reduce
regulatory uncertainty, through the simplification of certain climate-related
reporting obligations applicable to the Group. While the current level of risk
has stabilised, the Group remains vigilant and proactively monitors emerging
climate risks and regulatory developments.
There may be other risks and uncertainties that are not yet considered
material or not yet known to the Group and this list will change if these
risks assume greater importance in the future. Likewise, some of the current
risks will drop off the key risks schedule as management actions are
implemented or changes in the operating environment occur.
Strategic/External Technological Operational/Regulatory Financial
Risk where trend is stable • Customer Concentration • Digital Transformation • Health and Safety • Taxation Changes
• Climate Change • Product Safety and Compliance
• Acquisition/Integration
• Supply Chain
• Talent Management
Risk where trend is increasing • Geopolitical • Cyber Security and Data Protection
• Economic and Industry
• Market Disruption
The Board is closely monitoring the key risks that could materially and
adversely affect the Group's ability to achieve its strategic objectives,
particularly those whose probability of occurrence/extent of impact are
elevated by the consequences of the ongoing geopolitical uncertainties,
instability from ongoing wars/conflicts and potential further escalation of
tariff and trade tensions. Similar to our previous disclosures, these risks
have wide-ranging consequences on our principal risks and uncertainties with
the consequences being captured across a number of our principal risks.
The key risk factors and uncertainties with the potential to impact on the
Group's financial performance in the second half of 2025 include:
· Geopolitical risk - the geopolitical landscape continues to
remain fragile. The war in Ukraine, regional conflicts and instability in the
Middle East, continued tensions in the South China Sea and Taiwan and
increased economic competition between the US and China continue to pose
potential risks to global trade and economic stability. The Board is closely
monitoring geopolitical dynamics in key trading regions where any escalation
such as conflict, economic sanctions or trade restrictions could impact
Glanbia's growth objectives.
· Economic and Industry risk - the Group remains exposed to
vulnerabilities in the macroeconomic outlook, primarily due to ongoing global
trade pressures. These are exacerbated by heightened uncertainties and
volatility in tariff policies that could pose supply chain disruption and
inflationary risk pressures. The Group will continue to closely monitor these
and any other adverse changes in economic conditions which may increase the
cost of living and disrupt demand through reduced consumer spending.
· Market disruption risk - inflation across our core markets
remains persistent and vulnerable to negative impacts, particularly due to the
ongoing volatility and uncertainties in trade and tariff relations between the
US and its key trading partners, which have the potential to drive prices
higher. Given the potential for a combination of external factors to influence
this position, the Group continues to implement targeted measures to mitigate
remaining inflationary pressures and navigate competitor challenges.
· Supply chain risk - while supply chain volatility on our key
ingredients have largely stabilized, the ongoing geopolitical tensions and
volatility in trade and tariff policies could potentially impact the
importation of key raw materials and/or negatively impact on the Group's
international sales channels. The Group is holding appropriate safety stocks
for core raw materials, however a prolonged impact to supply chains such as
escalated global tariffs and trade tensions, extreme weather events and
natural disasters, heightened inflation or a geo-political event in a key
trading region would have negative consequences from both a supply and pricing
perspective.
· Customer concentration risk - while the Group's strategic focus
remains on building strong customer relationships with major customers,
material disruption with, or loss of, one or more of these customers, or a
significant deterioration in commercial terms, could materially impact
profitability. This risk can also expose the Group to credit exposure and
other balance sheet risks. The Board remains focused to actively managing
these risks and leveraging available mitigation strategies to limit potential
adverse impacts wherever possible.
The Group actively manages these and all other risks, inclusive of emerging
risks, through its risk management and internal control processes.
Cautionary statement
Glanbia plc has made forward-looking statements in this document that are
based on management's beliefs and assumptions and on information currently
available to management. Forward-looking statements include, but are not
limited to, information concerning the Group's possible or assumed future
results of operations, business strategies, financing plans, competitive
position, potential growth opportunities, potential operating performance
improvements, the effects of competition and the effects of future legislation
or regulations. Forward-looking statements include all statements that are not
historical facts and can be identified by the use of forward-looking
terminology such as the words 'believe', 'develop', 'expect', 'ensure',
'arrive', 'achieve', 'anticipate', 'maintain', 'grow', 'aim', 'deliver',
'sustain', 'should' or the negative of these terms or similar expressions.
Forward-looking statements involve risks, uncertainties and assumptions.
Actual results may differ materially from those expressed in these
forward-looking statements. You should not place undue reliance on any
forward-looking statements. These forward-looking statements are made as of
the date of this document. The Group expressly disclaims any obligation to
update these forward-looking statements other than as required by law. The
forward-looking statements in this release do not constitute reports or
statements published in compliance with any of Regulations 4 to 9 and 26 of
the Transparency (Directive 2004/109/EC) Regulations 2007 or any equivalent
provisions of the Disclosure and Transparency Rules of the FCA.
Results webcast and dial-in details
There will be an analysts' conference call and webcast presentation to
accompany this results announcement at 8.30 a.m. (BST) today. Please access
the webcast from the Glanbia website at
https://www.glanbia.com/investors/financial-calendar
(https://www.glanbia.com/investors/financial-calendar) , where the
presentation can also be viewed or downloaded.
A replay of the call will be available for 30 days from this afternoon. Please
see the link below to the Investor Relations section of the Glanbia plc
website for details:
https://www.glanbia.com/investors/results-centre
(https://www.glanbia.com/investors/results-centre)
For further information contact
Glanbia plc +353 (0)56 777 2200
Hugh McGuire, Chief Executive Officer
Mark Garvey, Chief Financial Officer
Liam Hennigan, Group Secretary & Head of Investor Relations +353 (0)86 046 8375
Lauren O'Sullivan, Investor Relations Manager +353 (0)85 741 7861
Martha Kavanagh, Head of Corporate Communications +353 (0)87 646 2006
2025 half year financial report
Responsibility statement
Each of the Directors of Glanbia plc, whose names and functions are listed on
the Group's website (www.glanbia.com), confirms that to the best of each
person's knowledge and belief:
· the 2025 Half Year Financial Report is in accordance with
International Accounting Standard (IAS) 34, 'Interim Financial Reporting', as
adopted by the European Union and the Transparency (Directive 2004/109/EC)
Regulations 2007, as amended, and the Central Bank (Investment Market Conduct)
Rules 2019; and
· the 2025 Half Year Financial Report includes a fair review of:
o important events that have occurred during the first six months of the
year, and their impact on the condensed consolidated interim financial
statements;
o a description of the principal risks and uncertainties for the remaining
six months of the financial year;
o details of any related party transactions that have materially affected
the Group's financial position or performance in the six months ended 5 July
2025, and material changes to related party transactions described in the
Annual Report for the year ended 4 January 2025; and
o any changes in the related parties' transactions described in the last
annual report that could have a material effect on the financial position or
performance of the Group in the first six months of the current financial
year.
On behalf of the Board
Hugh
McGuire
Mark Garvey
Chief Executive Officer
Chief Financial Officer
12 August 2025
Condensed Group Income statement
for the half year ended 5 July 2025
Half year 2025
Half year 2024
Notes Pre-exceptional $m Total Pre- Total
Exceptional $m $m exceptional Exceptional $m
(note 5) $m $m
(note 5)
Revenue 4 1,926.7 - 1,926.7 1,815.6 - 1,815.6
Cost of goods sold (1,400.6) - (1,400.6) (1,211.0) - (1,211.0)
Gross profit 526.1 - 526.1 604.6 - 604.6
Selling and distribution expenses (199.0) - (199.0) (241.0) - (241.0)
Administration expenses (125.4) (40.2) (165.6) (137.7) (11.2) (148.9)
Net impairment gain on financial assets 1.8 - 1.8 0.6 - 0.6
Operating profit before intangible asset amortisation 203.5 (40.2) 163.3 226.5 (11.2) 215.3
Intangible asset amortisation 11 (38.6) - (38.6) (38.9) - (38.9)
Operating profit 164.9 (40.2) 124.7 187.6 (11.2) 176.4
Finance income 7 1.1 - 1.1 4.0 - 4.0
Finance costs 7 (14.7) - (14.7) (14.4) - (14.4)
Share of results of joint venture 4 3.4 - 3.4 3.7 3.7
Profit before taxation 154.7 (40.2) 114.5 180.9 (11.2) 169.7
Income taxes 8 (22.7) 7.6 (15.1) (28.4) 2.0 (26.4)
Profit attributable to the equity holders of the Company 132.0 (32.6) 99.4 152.5 (9.2) 143.3
Earnings Per Share attributable to the equity holders of the Company
Basic Earnings Per Share (cent) 10 39.04 54.71
Diluted Earnings Per Share (cent) 10 38.58 54.03
Condensed Group Statement of comprehensive Income
for the half year ended 5 july 2025
Notes Half year
2025 Half year
$m 2024
$m
Profit for the period 99.4 143.3
Other comprehensive income
Items that will not be reclassified subsequently to the Group income statement
Remeasurements on defined benefit plans, net of deferred tax (0.2) 3.2
Items that may be reclassified subsequently to the Group income statement
Currency translation differences 15.1 12.7 (7.1)
Currency translation difference arising on net investment hedge 15.1 13.2 (3.1)
(Loss)/gain on cash flow hedges, net of deferred tax (0.5) 0.4
Share of other comprehensive income of joint venture, net of deferred tax (2.9) 2.2
Other comprehensive income for the period, net of tax 22.3 (4.4)
Total comprehensive income for the period attributable to the equity holders 121.7 138.9
of the Company
Condensed Group Balance sheet
as at 5 july 2025
Notes 5 July
2025 4 January
$m 2025
$m
ASSETS
Non-current assets
Property, plant and equipment 11 519.2 518.6
Right-of-use assets 11 93.4 87.0
Intangible assets 11 1,610.1 1,608.0
Interests in joint ventures 158.0 157.5
Other financial assets 0.9 0.9
Deferred tax assets 3.2 3.4
Retirement benefit assets 6 13.6 12.0
2,398.4 2,387.4
Current assets
Inventories 701.7 634.8
Trade and other receivables 488.3 391.5
Current tax receivable 14.6 17.0
Derivative financial instruments 1.1 1.4
Cash and cash equivalents (excluding bank overdrafts) 275.6 417.0
1,481.3 1,461.7
Assets held for sale 3 17.5 25.4
1,498.8 1,487.1
Total assets 3,897.2 3,874.5
EQUITY
Issued capital and reserves attributable to equity holders of the Company
Share capital and share premium 14 129.0 129.3
Other reserves 15.1 183.0 168.3
Retained earnings 15.2 1,737.7 1,775.2
Total equity 2,049.7 2,072.8
LIABILITIES
Non-current liabilities
Borrowings 12 754.3 552.2
Lease liabilities 90.8 85.1
Retirement benefit obligations 6 1.1 1.0
Deferred tax liabilities 99.0 104.6
Provisions 4.5 4.3
949.7 747.2
Current liabilities
Trade and other payables 595.8 611.7
Borrowings 12 171.3 300.8
Lease liabilities 20.7 20.8
Current tax liabilities 89.6 101.9
Derivative financial instruments 0.6 -
Provisions 11.8 10.7
889.8 1,045.9
Liabilities held for sale 3 8.0 8.6
897.8 1,054.5
Total liabilities 1,847.5 1,801.7
Total equity and liabilities 3,897.2 3,874.5
Condensed Group Statement of changes in equity
For the half year ended 5 july 2025
Attributable to equity holders of the Company
Share capital and share premium Other Retained
Half year 2025 $m reserves earnings Total
(note 14) $m $m $m
(note 15.1) (note 15.2)
Balance at 5 January 2025 129.3 168.3 1,775.2 2,072.8
Profit for the period - - 99.4 99.4
Other comprehensive income - 22.5 (0.2) 22.3
Total comprehensive income for the period - 22.5 99.2 121.7
Dividends - - (67.4) (67.4)
Purchase of own shares - (87.7) - (87.7)
Cancellation of own shares (0.3) 67.2 (66.9) -
Cost of share-based payments - 8.6 - 8.6
Transfer on exercise, vesting or expiry of share-based payments - 4.1 (4.1) -
Deferred tax on share-based payments - - 1.7 1.7
Balance at 5 July 2025 129.0 183.0 1,737.7 2,049.7
Half year 2024
Balance at 31 December 2023 129.7 172.1 1,830.8 2,132.6
Profit for the period - - 143.3 143.3
Other comprehensive income - (7.6) 3.2 (4.4)
Total comprehensive income for the period - (7.6) 146.5 138.9
Dividends - - (59.6) (59.6)
Purchase of own shares - (71.7) (71.7)
Cancellation of own shares (0.2) 54.2 (54.0) -
Cost of share-based payments - 9.6 9.6
Transfer on exercise, vesting or expiry of share-based payments - 6.7 (6.7) -
Deferred tax on share-based payments - - 1.6 1.6
Balance at 29 June 2024 129.5 163.3 1,858.6 2,151.4
Condensed gROUP Statement of cash flows
For the half year ended 5 July 2025
Notes Half year
2025 Half year
$m 2024
$m
Cash flows from operating activities
Net cash flows from operating activities before exceptional items 17 66.8 122.3
Cash outflow related to exceptional items (18.3) (9.1)
Interest received 1.7 4.3
Interest paid (including interest paid on lease liabilities) (14.7) (13.5)
Tax paid (28.7) (16.8)
Net cash inflow from operating activities 6.8 87.2
Cash flows from investing activities
Payment for acquisition of subsidiaries, net of cash acquired - (297.1)
Payments for property, plant and equipment (23.8) (29.8)
Payments for intangible assets (23.9) (15.1)
Proceeds from disposal/redemption of FVOCI financial assets - 0.3
Proceeds from sale of property, plant and equipment - 1.9
Net cash outflow from investing activities (47.7) (339.8)
Cash flows from financing activities
Purchase of own shares 15.1 (87.7) (71.7)
Drawdown of borrowings 12 484.5 314.6
Repayment of borrowings 12 (285.0) (96.1)
Payment of lease liabilities (11.8) (10.7)
Dividends paid to Company shareholders 15.2 (67.4) (59.6)
Net cash inflow from financing activities 32.6 76.5
Net decrease in cash and cash equivalents 12 (8.3) (176.1)
Cash and cash equivalents at the beginning of the period 116.2 304.8
Effects of exchange rate changes on cash and cash equivalents (3.6) (3.4)
Cash and cash equivalents at the end of the period 12 104.3 125.3
Cash and cash equivalents at the end of the period include:
5 July 29 June
2025 2024
$m $m
Cash and cash equivalents (excluding bank overdrafts) 275.6 300.9
Bank overdrafts (171.3) (175.6)
12 104.3 125.3
Notes to the financial statements
For the half year ended 5 July 2025
1. General information
Glanbia plc (the "Company") and its subsidiaries (together the "Group") is a
leading global nutrition group with geographical presence in regions that
include North America, Europe and Asia Pacific. The Company is a public
limited company incorporated and domiciled in Ireland, the number under which
it is registered is 129933. The address of its registered office is Glanbia
House, Kilkenny, Ireland, R95 E866. The Company is the ultimate parent company
of the Group and its shares are quoted on the Euronext Dublin and London Stock
Exchange (International Commercial Companies Secondary Listing).
These condensed consolidated interim financial statements as at, and for the
period commencing 5 January 2025 and ended 5 July 2025 (half year/six months)
("interim financial statements") were approved for issue by the Board of
Directors on 12 August 2025.
2. Basis of preparation
The interim financial statements have been prepared in accordance with IAS 34
Interim Financial Reporting as adopted by the European Union, the Transparency
(Directive 2004/109/EC) Regulations 2007 as amended, and the Central Bank
(Investment Market Conduct) Rules 2019. The interim financial statements
should be read in conjunction with the financial statements as at, and for the
year ended 4 January 2025 ("2024 Annual Report"). The interim financial
statements do not include all of the information required for a complete set
of IFRS financial statements and have not been audited or reviewed by the
Group's auditor.
The methods of computation, presentation and accounting policies adopted in
the preparation of the interim financial statements are consistent with those
applied in the 2024 Annual Report other than noted below. The Group's
accounting policies are set out in note 2 to the financial statements in the
2024 Annual Report. All amounts relate to continuing operations unless
otherwise stated.
Segment Reporting
As announced on 6 November 2024, Glanbia has commenced a Group-wide
transformation programme to drive efficiencies across the new operating model
and support the next phase of growth through three focused segments;
Performance Nutrition, Health & Nutrition and Dairy Nutrition. The new
operating model reflects the way resources are allocated and performance is
assessed by the Chief Operating Decision Maker (CODM). There has been no
change to the CODM during the period. Comparative segment information for
2024 has been restated where necessary to reflect the changes in reportable
segments. See note 4 of the interim financial statements for further details.
Critical accounting judgements and estimates
The significant judgements made by management in applying the Group's
accounting policies and the key sources of estimation uncertainty in preparing
the interim financial statements were the same as those that applied to the
2024 Annual Report.
New and amended standards adopted in the current period
The following changes to IFRS became effective for the Group for the current
year but did not result in a material impact on the Group's results.
· Classification of Liabilities as Current or Non-current -
Amendments to IAS 1
· Non-current Liabilities with Covenants - Amendments to
IAS 1
· Lack of exchangeability- Amendments to IAS 1
· Lease Liability in a Sale and Leaseback - Amendments to
IFRS 16
· Supplier Finance Arrangements - Amendments to IAS 7 and
IFRS 7
Going concern
The time period that the Directors have considered in evaluating the
appropriateness of the going concern basis in preparing the interim financial
statements is a period of at least 12 months from the date of approval of
these interim financial statements (the "period of assessment").
The Directors have given due regard to the Group's available cash resources,
borrowing facilities and related covenant requirements which taken together,
provide confidence that the Group will be able to meet its obligations as they
fall due, and the Group's financial risk management policies as described in
the 2024 Annual Report, the nature of business activities and the factors
likely to impact operating performance and future growth.
Having assessed the relevant business risks identified and discussed in the
Principal risks and uncertainties on pages 12 and 13, the Directors believe
that the Group is well placed to manage these risks successfully and they have
a reasonable expectation that the Group has adequate resources to continue in
operational existence for the period of assessment. The Group therefore
considers it appropriate to adopt the going concern basis in preparing its
interim financial statements.
Foreign currency translation
The interim financial statements are presented in US dollar.
The principal exchange rates used for the translation of results and balance
sheets into US dollar are as follows:
Average Period end
1 US dollar = Half year Half year Full year 5 July 29 June 4 January
2025 2024 2024 2025 2024 2025
euro 0.9113 0.9247 0.9246 0.8498 0.9341 0.9710
Pound sterling 0.7686 0.7904 0.7827 0.7330 0.7906 0.8058
3. Assets and liabilities held for sale
5 July 4 January
2025 2025
$m $m
Inventories 10.4 9.3
Intangible assets 2.8 6.6
Trade and other receivables 2.7 5.0
Property, plant and equipment 1.1 3.1
Right-of-use assets 0.5 1.4
Assets held for sale 17.5 25.4
Trade and other payables (5.6) (6.3)
Lease liabilities (2.4) (2.3)
Liabilities held for sale (8.0) (8.6)
The assets and liabilities held for sale at 5 July 2025 and 4 January 2025
relate to the Benelux Direct-to-Consumer (DTC) online branded business (Body
& Fit Sportsnutrition B.V.). Following the completion of a portfolio
review, these assets and liabilities which are part of the Performance
Nutrition segment were determined to be non-core and a decision was made to
divest of them, resulting in the designation as held for sale at 2024 year
end. The divestment was substantially completed subsequent to the half year
reporting date and is disclosed as a post balance sheet event in note 19.
The above divestment is not regarded as a discontinued operation as it was not
considered to be either a separate major line of business or geographical area
of operations.
4. Segment information
In accordance with IFRS 8 'Operating Segments', the Group has identified
Performance Nutrition, Health & Nutrition and Dairy Nutrition as
reportable segments as at 5 July 2025 (2024: Glanbia Performance Nutrition and
Glanbia Nutritionals). Glanbia Performance Nutrition was renamed to
Performance Nutrition during the period and Glanbia Nutritionals has been
segregated into Health & Nutrition and Dairy Nutrition. The new segments
reflect the way resources are allocated and performance is assessed by the
CODM. Comparative segment information for 2024 has been restated where
necessary to reflect the changes in reportable segments. Performance Nutrition
manufactures and sells sports nutrition and lifestyle nutrition products
through a variety of channels including specialty, online, Food, Drug, Mass,
Club (FDMC), and distributor in a variety of formats, including powders,
Ready-to-Eat (bars and snacking foods) and Ready-to-Drink beverages. Health
& Nutrition is a leading global nutritional solutions business, providing
value added ingredient and flavour solutions to a range of attractive,
high-growth end markets. Dairy Nutrition is a leading producer of whey protein
isolate and American-style cheddar cheese in the US and provides a wide range
of dairy and functional protein solutions.
Half year 2025 Performance Nutrition Health & Dairy All other
$m Nutrition* Nutrition* segments and
$m $m unallocated Total
$m $m
Segment results (pre-exceptional)
Total gross segment revenue 850.1 316.2 787.1 - 1,953.4
Inter-segment revenue (0.1) (3.2) (23.4) - (26.7)
Revenue 850.0 313.0 763.7 - 1,926.7
Earnings before interest, tax, depreciation, amortisation and exceptional 108.2 60.9 72.2 - 241.3
items (EBITDA)
Share of results of joint venture - - - 3.4 3.4
Half year 2024
Segment results (pre-exceptional)
Total gross segment revenue 882.6 269.0 690.7 - 1,842.3
Inter-segment revenue (0.5) (4.7) (21.5) - (26.7)
Revenue 882.1 264.3 669.2 - 1,815.6
Earnings before interest, tax, depreciation, amortisation and exceptional 156.4 44.7 60.5 - 261.6
items (EBITDA)
Share of results of joint venture - - - 3.7 3.7
*Comparatives restated to reflect the changes in reportable segments. Performance Nutrition Health & All other
$m Nutrition* segments and unallocated
$m $m Total
Dairy $m
5 July 2025 Nutrition*
$m
Segment assets and liabilities
Segment assets 1,765.1 816.6 800.9 514.6 3,897.2
Segment liabilities 370.1 111.3 206.8 1,159.3 1,847.5
4 January 2025
Segment assets and liabilities
Segment assets 1,700.9 759.1 766.0 648.5 3,874.5
Segment liabilities 378.8 94.3 261.2 1,067.4 1,801.7
*Comparatives restated to reflect the changes in reportable segments.
Segment earnings before interest, tax, depreciation, amortisation and
exceptional items are reconciled to reported profit before taxation and profit
after taxation as follows:
Notes Half year Half year
2025 2024
$m $m
Earnings before interest, tax, depreciation, amortisation and exceptional 241.3 261.6
items
Finance income 7 1.1 4.0
Finance costs 7 (14.7) (14.4)
Share of results of joint venture 3.4 3.7
Exceptional items before tax 5 (40.2) (11.2)
Intangible asset amortisation 11 (38.6) (38.9)
Depreciation of property, plant and equipment 11 (26.6) (25.1)
Depreciation of right-of-use assets 11 (11.2) (10.0)
Profit before taxation 114.5 169.7
Income taxes 8 (15.1) (26.4)
Profit for the period 99.4 143.3
Geographical information
Revenue from external customers, and non-current assets, other than financial
instruments, deferred tax assets, and retirement benefit assets attributable
to the country of domicile and all foreign countries of operation for which
revenue/non-current assets exceed 10% of total Group revenue/non-current
assets are set out below.
Revenue from external customers in the table below and in the disaggregation
of revenue by primary geographical markets table is allocated to geographical
areas based on the place of delivery or collection of the products sold as
agreed with customers as opposed to the end use market where the product may
be consumed.
Revenue Non-current assets
Half year Half year 5 July 4 January
2025 2024 2025 2025
$m $m $m $m
Ireland (country of domicile) 38.0 12.3 1,056.9 1,064.4
US 1,304.8 1,238.3 1,185.9 1,180.8
Other
- North America (excluding US) 63.5 56.2 5.8 5.6
- Europe (excluding Ireland) 260.4 229.0 120.6 108.9
- Asia Pacific 203.6 198.2 10.6 11.3
- LATAM 27.5 50.7 0.9 0.1
- Rest of World 28.9 30.9 - -
1,926.7 1,815.6 2,380.7 2,371.1
Disaggregation of revenue
Revenue is disaggregated based on the Group's internal reporting structures,
the primary geographical markets in which the Group operates, the timing of
revenue recognition, and channel mix as set out in the following tables:
Half year 2025 Half year 2024
Performance Nutrition Health & Dairy Total Performance Nutrition Health & Dairy Total
$m Nutrition Nutrition $m $m Nutrition* Nutrition* $m
$m $m $m $m
Internal reporting structures
Health & Nutrition - 313.0 - 313.0 - 264.3 - 264.3
Dairy Nutrition - - 763.7 763.7 - - 669.2 669.2
PN Americas 518.6 - - 518.6 568.1 - - 568.1
PN International 331.4 - - 331.4 314.0 - - 314.0
Total 850.0 313.0 763.7 1,926.7 882.1 264.3 669.2 1,815.6
Primary geographical markets
North America 525.9 186.8 655.6 1,368.3 569.2 164.3 561.0 1,294.5
Europe 179.0 70.4 49.0 298.4 173.6 54.9 12.8 241.3
Asia Pacific 120.9 31.1 51.6 203.6 110.5 25.0 62.7 198.2
LATAM 6.7 13.4 7.4 27.5 9.1 9.0 32.6 50.7
Rest of World 17.5 11.3 0.1 28.9 19.7 11.1 0.1 30.9
Total 850.0 313.0 763.7 1,926.7 882.1 264.3 669.2 1,815.6
Timing of revenue recognition
Products transferred at point in time 850.0 313.0 763.7 1,926.7 882.1 264.3 669.2 1,815.6
Products transferred over time - - - - - - - -
Total 850.0 313.0 763.7 1,926.7 882.1 264.3 669.2 1,815.6
*Restated to reflect the changes in reportable segments.
Channel mix for Performance Nutrition Half year Half year
2025 2024
$m $m
Distributor 168.6 197.0
Food, Drug, Mass, Club (FDMC) 285.7 314.0
Online 302.1 267.3
Specialty 93.6 103.8
Total 850.0 882.1
The disaggregation of revenue by channel mix is most relevant for Performance
Nutrition.
5. Exceptional items
Notes Half year Half year
2025 2024
$m $m
Group-wide transformation programme (a) 28.3 6.0
Impairment of non-core assets held for sale (b) 8.7 -
Acquisition and integration costs (c) 3.1 5.0
Pension related costs (d) 0.1 0.2
Total 40.2 11.2
Exceptional tax credit 8 (7.6) (2.0)
Total exceptional charge for the period 17 32.6 9.2
(a) Group-wide transformation programme: During 2023 the Group commenced
a number of initiatives to realign support functions and optimise structures
to more efficiently support business operations and growth. On 6 November
2024, a group-wide transformation programme was announced to drive
efficiencies across the new operating model and support the next phase of
growth. This multi-year programme is focused on driving efficiencies across
the Group's operating model and supply chains while leveraging the Group's
digital transformation capabilities.
(b) Impairment of non-core assets held for sale: The charge relates to
fair value adjustments to reduce the carrying value of assets held for sale to
the fair value less costs to sell. The assets relate to the Benelux
Direct-To-Consumer (DTC) online branded business (Body & Fit
Sportsnutrition B.V.). Following the completion of a portfolio review, these
assets and liabilities were determined to be non-core and a decision was made
to divest of them, resulting in the designation as held for sale at 2024 year
end. The divestment was substantially completed subsequent to the half year
reporting date and is disclosed as a post balance sheet event in note 19.
(c) Acquisition and integration costs: These costs relate to the
transaction and integration costs associated with the Flavor Producers
business.
(d) Pension related costs: These costs relate to the restructure of
certain legacy defined benefit pension schemes in the UK. Final wind up is
anticipated in 2026.
6. Retirement benefit obligations
Recognition in the Condensed Group balance sheet:
5 July 4 January
2025 2025
$m $m
Non-current assets - Surplus on defined benefit pension plan 13.6 12.0
Non-current liabilities - Deficit on defined benefit pension plan (1.1) (1.0)
Net defined benefit pension plans asset 12.5 11.0
The net asset disclosed above relates to funded plans. The movement in the net
defined benefit pension plans asset is as follows:
HY 2025 UK Total
$m $m
ROI
$m
Fair value of plan assets:
At the beginning of the period 94.3 0.2 94.5
Interest income 1.7 - 1.7
Recognised in profit or loss 1.7 - 1.7
Remeasurements
Return of plan assets in excess of interest income (1.6) - (1.6)
Recognised in OCI (1.6) - (1.6)
Exchange differences 13.0 - 13.0
Contributions paid by the employer 0.3 - 0.3
Contributions paid by the employee 0.2 - 0.2
Benefits paid (5.2) - (5.2)
At the end of the period 102.7 0.2 102.9
Present value of obligations:
At the beginning of the period (82.5) (1.0) (83.5)
Current service cost (0.4) - (0.4)
Interest expense (1.4) - (1.4)
Recognised in profit or loss (1.8) - (1.8)
Remeasurements
Gain from changes in financial assumptions 1.4 - 1.4
Recognised in OCI 1.4 - 1.4
Exchange differences (11.4) (0.1) (11.5)
Contributions paid by the employee (0.2) - (0.2)
Benefits paid 5.2 - 5.2
At the end of the period (89.3) (1.1) (90.4)
Net asset/(liability) 13.4 (0.9) 12.5
FY 2024
Fair value of plan assets:
At the beginning of the year 106.8 0.4 107.2
Interest income 3.2 - 3.2
Recognised in profit or loss 3.2 - 3.2
Remeasurements
Return of plan assets in excess of interest income 0.7 - 0.7
Recognised in OCI 0.7 - 0.7
Exchange differences (7.0) - (7.0)
Contributions paid by the employer 0.6 - 0.6
Contributions paid by the employee 0.3 - 0.3
Benefits paid (10.3) (0.2) (10.5)
At the end of the year 94.3 0.2 94.5
FY 2024 ROI UK Total
$m $m $m
Present value of obligations:
At the beginning of the year (98.8) (1.2) (100.0)
Current service cost (0.8) - (0.8)
Interest expense (2.9) (0.1) (3.0)
Recognised in profit or loss (3.7) (0.1) (3.8)
Remeasurements
Loss from experience adjustments (0.4) 0.1 (0.3)
Gain from changes in financial assumptions 4.2 - 4.2
Recognised in OCI 3.8 0.1 3.9
Exchange differences 6.2 - 6.2
Contributions paid by the employee (0.3) - (0.3)
Benefits paid 10.3 0.2 10.5
At the end of the year (82.5) (1.0) (83.5)
Net asset/(liability) 11.8 (0.8) 11.0
The principal assumptions used for the purposes of the actuarial valuations
were as follows:
Half year 2025 Half year 2024 Year 2024
ROI UK ROI UK ROI UK
Discount rate 3.60% 5.80% 3.60% 5.30% 3.45% 5.60%
Inflation rate 1.90% 2.65%-3.05% 2.10% 2.70%-3.25% 1.85% 2.80%-3.20%
Future salary increases* 2.90% 0.00% 3.10% 0.00% 2.85% 0.00%
Future pension increases 0.00% 2.60%-2.90% 0.00% 2.65%-3.10% 0.00% 2.75%-3.05%
Mortality rates (years):
- Male - currently aged 65 years old 22.0 20.2 22.1 20.8 22.0 20.2
- Female - currently aged 65 years old 24.5 22.4 24.4 23.0 24.5 22.4
- Male - reaching 65 years of age in 20 years' time 23.4 21.2 24.3 21.7 23.4 21.2
- Female - reaching 65 years of age in 20 years' time 25.9 23.6 26.4 24.1 25.9 23.6
* The ROI defined benefit pension plans are on a career average structure
therefore this assumption does not have a material impact. The UK defined
benefit pension plans comprise solely pensioners and deferred pensioners.
7. Finance income and costs
Half year Half year
2025 2024
$m $m
Finance income
Interest income on cash and deposits 1.1 3.8
Interest income on swaps - 0.2
Total finance income 1.1 4.0
Finance costs
Bank borrowing costs (6.9) (6.5)
Facility fees (1.5) (1.5)
Finance cost of private placement debt (4.7) (5.1)
Interest expense on lease liabilities (1.6) (1.3)
Total finance costs (14.7) (14.4)
Net finance costs (13.6) (10.4)
8. Income taxes
The Group's income tax charge of $15.1 million (HY2024: $26.4 million) net of
an exceptional tax credit of $7.6 million (HY2024: $2.0 million) (note 5) was
prepared based on the Group's best estimate of the weighted average tax rate
that is expected for the full financial year. The income tax charge is derived
based on the profits and appropriate tax rates in force in each jurisdiction
in which the Group operates for 2025. Based on legislation in effect and
current financial forecasts, the Group does not expect to pay a material
Pillar Two top-up tax with respect to its 2025 financial year (the year ending
3 January 2026).
9. Dividends
Half year Half year
2025 2024
$m $m
Equity dividends to shareholders
Final - EUR 23.33c per ordinary share, paid on 2 May 2025 (FY 2024: EUR 67.7 60.2
21.21c, paid on 3 May 2024)
Interim - EUR 17.20c per ordinary share, payable on 3 October 2025 (HY 2024: 51.4 45.2
EUR 15.64c, paid on 4 October 2024)
Of the $67.7 million (HY2024: $60.2 million) dividends paid during the half
year ended 5 July 2025, $0.3 million (HY2024: $0.4 million) are waived in
relation to own shares. There was no dividend withholding tax refund received
in the current period (HY2024: $0.2 million).
These interim financial statements do not reflect the interim dividends
recommended for 2025. The amount of interim dividends recommended is based on
the number of issued shares at period end (note 14). The actual amount will be
based on the number of issued shares on the record date. There are no income
tax consequences for the Company in respect of dividends proposed prior to
issuance of the interim financial statements.
10. Earnings per share
Basic
Basic Earnings Per Share is calculated by dividing profit after tax
attributable to the equity holders of the Company by the weighted average
number of ordinary shares in issue during the period, excluding ordinary
shares purchased by the Group and held as own shares.
Diluted
Diluted Earnings Per Share is calculated by adjusting the weighted average
number of ordinary shares in issue to assume conversion of all potential
dilutive ordinary shares. Share awards are the Company's only potential
dilutive ordinary shares.
The share awards, which are performance based, are treated as contingently
issuable shares because their issue is contingent upon satisfaction of
specified performance conditions as well as the passage of time. Contingently
issuable shares are included in the calculation of Diluted Earnings Per Share
to the extent that conditions governing exercisability have been satisfied, as
if the end of the reporting period were the end of the vesting period.
Half year Half year
2025 2024
Profit after tax attributable to equity holders of the Company ($m) 99.4 143.3
Basic Earnings Per Share (cent) 39.04 54.71
Diluted Earnings Per Share (cent) 38.58 54.03
Half year Half year
2025 2024
Weighted average number of ordinary shares in issue 254,596,177 261,915,963
Shares deemed to be issued for no consideration in respect of share awards 3,027,904 3,309,696
Weighted average number of shares used in the calculation of Diluted Earnings 257,624,081 265,225,659
Per Share
11. Property, plant and equipment, right-of-use assets and intangible assets
Property, plant and equipment
During the six month period to 5 July 2025, property, plant and equipment
increased by $0.6 million to $519.2 million. This movement reflects additions
of $21.8 million (HY2024: $27.7 million), gains of $6.1 million (HY2024:
losses of $1.9 million) arising from exchange differences, depreciation
charges of $26.6 million (HY2024: $25.1 million) and disposals of $0.7 million
(HY2024: $1.2 million). There were no business combinations during the period
(HY2024: $11.3 million).
Right-of-use assets
During the six month period to 5 July 2025, right-of-use assets increased by
$6.4 million, to $93.4 million. This movement reflects additions of $3.8
million (HY 2024: $6.1 million), remeasurement gains of $12.1 million (HY2024:
losses of $1.1 million), gains of $1.8 million (HY2024: losses of $0.1
million) arising from exchange differences, depreciation charges of $11.2
million (HY2024: $10.0 million) and impairment of $0.1 million (HY2024: nil).
There were no business combinations (HY2024: $2.3 million) or disposals (HY
2024: $0.3 million) during the period.
Intangible assets
During the six month period to 5 July 2025, intangible assets increased by
$2.1 million to $1,610.1 million. This movement reflects additions of $23.9
million (HY2024: $15.1 million), gains of $16.8 million (HY2024: losses of
$5.8 million) arising from exchange differences and amortisation charges of
$38.6 million (HY2024: $38.9 million). There were no business combinations
during the period (HY2024: $270.5 million).
12. Borrowings
5 July 4 January
2025 2025
$m $m
Non-current
Bank borrowings 379.3 177.2
Private placement debt 375.0 375.0
754.3 552.2
Current
Bank overdrafts 171.3 300.8
Total borrowings 925.6 853.0
Bank borrowings increased due to net drawdown of borrowings during the current
period.
The maturity profile of borrowings, and undrawn committed and uncommitted
facilities is as follows:
5 July 2025 4 January 2025
Borrowings Undrawn committed facilities Undrawn uncommitted facilities Borrowings Undrawn committed Undrawn uncommitted facilities
$m $m $m $m facilities $m
$m
12 months or less 171.3 - 17.6 300.8 - 16.3
Between 1 and 2 years - - - - - -
Between 2 and 5 years 479.3 611.9 - 277.2 720.8 -
More than 5 years 275.0 - - 275.0 - -
925.6 611.9 17.6 853.0 720.8 16.3
Net debt is a non-IFRS measure which we provide to investors as we believe
they find it useful. Net debt comprises the following:
5 July 4 January
2025 2025
$m $m
Bank borrowings and private placement debt 754.3 552.2
Cash and cash equivalents net of bank overdrafts (104.3) (116.2)
650.0 436.0
Net debt reconciliation is as follows:
Half year Half year
2025 2024
$m $m
Net debt at the beginning of the period 436.0 248.7
Drawdown of borrowings 484.5 314.6
Repayment of borrowings (285.0) (96.1)
Exchange translation adjustment on net debt 6.2 2.1
Net decrease in cash and cash equivalents 8.3 176.1
Net debt at the end of the period 650.0 645.4
13. Fair value of financial instruments
There have been no changes to the risk management procedures or policies since
4 January 2025. Refer to note 30 of the 2024 Annual Report for details on
these risk management procedures and policies.
Except as detailed in the following table, the Group deemed that the carrying
amounts of financial instruments measured at amortised cost in the interim
financial statements approximate their fair value due to their short-term
nature:
5 July 2025 4 January 2025
Carrying Fair value Carrying Fair value
amount $m amount $m
$m $m
Non-current borrowings payable 754.3 708.5 552.2 493.6
Fair value is estimated by discounting future contractual cash flows using
current market interest rates from observable interest rates at the end of the
reporting period that are available to the Group for similar financial
instruments (classified as level 2 in the fair value hierarchy).
The following table shows the fair values of financial instruments measured at
fair value:
Fair value hierarchy 5 July 4 January
2025 2025
$m $m
Assets
Foreign exchange contracts - cash flow hedges Level 2 1.1 1.0
Cross currency swaps - fair value through income statement Level 2 - 0.4
Liabilities
Foreign exchange contracts - cash flow hedges Level 2 (0.5) -
Cross currency swaps - fair value through income statement Level 2 (0.1) -
There was no movement in the carrying amounts associated with Level 3
financial instruments. Refer to note 29 of the 2024 Annual Report for details
of the valuation process of the financial assets and liabilities.
14. Share capital and share premium
Number of Ordinary Share Total
shares shares premium $m
(thousands) $m $m
At 5 January 2025 258,901 19.4 109.9 129.3
Cancellation of own shares (4,971) (0.3) - (0.3)
At 5 July 2025 253,930 19.1 109.9 129.0
At 31 December 2023 265,072 19.8 109.9 129.7
Cancellation of own shares (2,786) (0.2) - (0.2)
At 29 June 2024 262,286 19.6 109.9 129.5
The total authorised number of ordinary shares in the current and prior period
is 350 million shares with a par value of €0.06 per share. All issued shares
are fully paid, and carry one vote per share and a right to dividends.
15. Other reserves and retained earnings
15.1 Other reserves
Half year 2025 Capital and merger reserve Currency reserve Hedging reserve Own Share based payment reserve Other
$m $m $m shares $m $m Total
$m $m
Balance at 5 January 2025 137.1 17.9 5.9 (23.2) 30.4 0.2 168.3
Currency translation differences - 12.7 - - - - 12.7
Net investment hedge - 13.2 - - - - 13.2
Revaluation - gross - - (2.9) - - - (2.9)
Reclassification to profit or loss - gross - - (1.5) - - - (1.5)
Deferred tax - - 1.0 - - - 1.0
Net change in OCI - 25.9 (3.4) - - - 22.5
Purchase of own shares - - - (87.7) - - (87.7)
Cancellation of own shares 0.3 - - 66.9 - - 67.2
Cost of share-based payments - - - - 8.6 - 8.6
Transfer on exercise, vesting or expiry of share-based payments - - - 25.8 (21.7) - 4.1
Balance at 5 July 2025 137.4 43.8 2.5 (18.2) 17.3 0.2 183.0
Half year 2024
Balance at 31 December 2023 136.7 30.4 4.5 (37.5) 37.8 0.2 172.1
Currency translation differences - (7.1) - - - - (7.1)
Net investment hedge - (3.1) - - - - (3.1)
Revaluation - gross - - 3.3 - - - 3.3
Reclassification to profit or loss - gross - - 0.2 - - - 0.2
Deferred tax - - (0.9) - - - (0.9)
Net change in OCI - (10.2) 2.6 - - - (7.6)
Purchase of own shares - - - (71.7) - - (71.7)
Cancellation of own shares 0.2 - - 54.0 - - 54.2
Cost of share-based payments - - - - 9.6 - 9.6
Transfer on exercise, vesting or expiry of share-based payments - - - 30.8 (24.1) - 6.7
Balance at 29 June 2024 136.9 20.2 7.1 (24.4) 23.3 0.2 163.3
Refer to note 23 of the 2024 Annual Report for a description of the components
of other reserves.
15.2 Retained earnings
Notes Half year Half year
2025 2024
$m $m
At the beginning of the period 1,775.2 1,830.8
Profit for the period attributable to equity holders of the Company 99.4 143.3
Other comprehensive income
- Remeasurements on defined benefit plans (0.2) 3.7
- Deferred tax on remeasurements on defined benefit plans - (0.5)
(0.2) 3.2
Dividends (67.4) (59.6)
Cancellation of own shares 15.1 (66.9) (54.0)
Transfer on exercise, vesting or expiry of share-based payments 15.1 (4.1) (6.7)
Deferred tax on share-based payments 1.7 1.6
At the end of the period 1,737.7 1,858.6
16. Related party transactions
Related parties of the Group are the same as outlined in the 2024 Annual
Report, with the exception of Leprino Foods which is not deemed to be a
related party in 2025.
Transactions that occurred with related parties during the period ended 5 July
2025 include:
Half year Half year
2025 2024
$m $m
Transactions with joint venture
Sales of services 34.7 26.8
Purchases of goods 23.9 7.2
Transactions with Tirlán Co-operative Group
Dividends received 0.1 -
Dividends paid 19.9 17.3
Sales of services 13.6 14.1
Sales of goods 0.3 0.3
Purchases of goods 22.3 23.7
Purchases of services 0.3 0.3
There have been no significant changes in the nature and scale of the
transactions with directors and key management personnel as described in the
2024 Annual Report.
17. Net cash flows from operating activities before exceptional items
Notes Half year Half year
2025 2024
$m $m
Profit for the period 99.4 143.3
Exceptional items 5 32.6 9.2
Income taxes 22.7 28.4
Profit before taxation 154.7 180.9
Share of results of joint venture 4 (3.4) (3.7)
Finance costs 7 14.7 14.4
Finance income 7 (1.1) (4.0)
Amortisation of intangible assets 11 38.6 38.9
Depreciation of property, plant and equipment 11 26.6 25.1
Depreciation of right-of-use assets 11 11.2 10.0
Cost of share-based payments 15.1 8.6 9.6
Net write down of inventories 10.1 10.4
Other (0.9) (4.8)
Operating cash flows before movement in working capital 259.1 276.8
Movement in working capital (192.3) (154.5)
Net cash flows from operating activities before exceptional items 66.8 122.3
18. Contingent liabilities and commitments
Contingent liabilities
Guarantees provided by financial institutions amounting to $7.2 million (FY
2024: $6.8 million) are outstanding at 5 July 2025. The Group does not expect
any material loss to arise from these guarantees. The Group has contingent
liabilities in respect of legal claims arising in the ordinary course of
business. It is not anticipated that any material liability will arise from
these contingent liabilities other than those provided for.
Commitments
At 5 July 2025 the Group had entered into contractual commitments for the
acquisition of property, plant and equipment amounting to $8.4 million (FY
2024: $6.1 million) and software of $2.3 million (FY 2024: $0.1 million).
19. Events after the reporting period
See note 9 for the interim dividend, recommended by the Directors, to be paid
on 3 October 2025.
Subsequent to the reporting date, the directors approved the divestment of
Body & Fit Sportsnutrition B.V. to an external party with completion
expected to occur in Q4 2025.
Subsequent to the reporting date, on 1 August 2025, Glanbia acquired Sweetmix
for initial consideration of $41 million plus contingent consideration.
Sweetmix is a Brazil-based nutritional premix and ingredients solutions
business and is a complementary acquisition for the Health & Nutrition
segment. In 2024 Sweetmix delivered $17.3 million in revenue and is expected
to be marginally accretive to earnings per share in H2 2025. Due to the
proximity of the acquisition to the date of signature of the financial
statements, it is not possible to provide the fair values of the net assets
acquired.
20. Information
The interim financial statements are considered non-statutory financial
statements for the purposes of the Companies Act 2014 and in compliance with
section 340(4) of that Act we state that:
· the interim financial statements have been prepared to meet our
obligation under the Transparency (Directive 2004/109/EC) Regulations 2007 as
amended (Statutory Instrument No. 277 of 2007);
· the interim financial statements do not constitute the statutory
financial statements of the Group and are unaudited;
· the statutory financial statements as at, and for the financial
year ended 4 January 2025 will be annexed to the 2025 annual return and filed
with the Companies Registration Office;
· the statutory auditor of the Group have made a report under
section 391 in the form required by section 336 Companies Act 2014 in respect
of the statutory financial statements of the Group; and
· the matters referred to in the statutory auditor's report were
unqualified, and did not include a reference to any matters to which the
statutory auditor drew attention by way of emphasis without qualifying the
report.
Copies of this half yearly financial report are available for download from
the Group's website at www.glanbia.com.
glossary of NON-IFRS PERFORMANCE MEASURES
The Group reports certain performance measures including key performance
indicators that are not defined under IFRS but which represent additional
measures used by the Board of Directors and the Glanbia Operating Executive in
assessing performance and for reporting both internally and to shareholders
and other external users. The Group believes that the presentation of these
non-IFRS performance measures provides useful supplemental information which,
when viewed in conjunction with our IFRS financial information, provides
readers with an enhanced understanding of the underlying financial and
operating performance of the Group.
These non-IFRS performance measures may not be uniformly defined by all
companies and accordingly they may not be directly comparable with similarly
titled measures and disclosures by other companies. None of these non-IFRS
performance measures should be considered as an alternative to financial
measures drawn up in accordance with IFRS.
The principal non-IFRS performance measures relevant to the interim period are
defined below with a reconciliation of these measures to IFRS measures where
applicable. Please note where referenced "CGIS" refers to Condensed Group
income statement, "CGBS" refers to Condensed Group balance sheet, and "CGSCF"
refers to Condensed Group statement of cash flows. EBITA and EBITDA references
throughout the interim report are on a pre-exceptional basis unless otherwise
indicated.
The definition of exceptional items and the analysis of exceptional items are
disclosed in note 2 to the financial statements of the 2024 Annual Report and
note 5 of these interim financial statements respectively.
While the Group reports its results in US dollar, it generates a proportion of
its earnings in currencies other than US dollar, in particular euro. Constant
currency reporting is used by the Group to eliminate the translational effect
of foreign exchange on the Group's results. To arrive at the constant currency
period-on-period change, the results for the prior period are retranslated
using the average exchange rates for the current period and compared to the
current period reported numbers. The principal average exchange rates used to
translate results for 2025 and 2024 are outlined in note 2 of the interim
financial statements.
Total shareholder return and return on capital employed are not considered
relevant by the Group for the interim period as they are performance measures
considered on an annual basis only as part of the performance conditions in
Glanbia's Long-term Incentive Plan.
As announced on 6 November 2024, Glanbia has commenced a Group-wide
transformation programme to drive efficiencies across the new operating model
and support the next phase of growth through three focused segments;
Performance Nutrition, Health & Nutrition and Dairy Nutrition. Comparative
segment information for 2024 has been restated where necessary to reflect the
changes in reportable segments.
G 1. Revenue measures
G 1.1 Constant currency and like-for-like revenue change
Like-for-like revenue change represents the sales increase/(decrease)
period-on-period, excluding the incremental revenue contributions from current
period and prior period acquisitions and disposals and the impact of a 53(rd)
week (when applicable), on a constant currency basis.
Reference HY 2025 HY 2024* HY 2024* Constant currency Like-for-like change
Reported $m Constant change (G 1.2)
$m currency (G 1.2) %
$'m %
PN Americas Note 4 518.6 568.1 567.8 (8.7%) (8.7%)
PN International Note 4 331.4 314.0 315.9 4.9% 4.9%
Performance Nutrition Note 4 850.0 882.1 883.7 (3.8%) (3.8%)
Health & Nutrition Note 4 313.0 264.3 265.2 18.0% 6.5%
Dairy Nutrition Note 4 763.7 669.2 669.3 14.1% 14.1%
Revenue CGIS 1,926.7 1,815.6 1,818.2 6.0% 4.3%
*Restated to reflect the changes in reportable segments.
G 1.2 Volume and pricing increase/(decrease)
Volume increase/(decrease) represents the impact of sales volumes within the
revenue movement period-on-period, excluding volume from acquisitions and
disposals and the impact of a 53(rd) week (when applicable), on a constant
currency basis.
Pricing increase/(decrease) represents the impact of sales pricing (including
trade spend) within revenue movement period-on-period, excluding acquisitions
and disposals, on a constant currency basis.
Reconciliation of volume and pricing increase/(decrease) to constant currency
revenue change:
Volume increase/ Price Like-for-like change Acquisitions/ Constant currency
(decrease) increase/ (G 1.1) (disposals) change
(decrease) (G 1.1)
Performance Nutrition (3.5%) (0.3%) (3.8%) - (3.8%)
Health & Nutrition 6.9% (0.4%) 6.5% 11.5% 18.0%
Dairy Nutrition 4.3% 9.8% 14.1% - 14.1%
HY 2025 increase % - revenue 0.9% 3.4% 4.3% 1.7% 6.0%
G 2. EBITDA and EBITDA margin % (pre-exceptional)
EBITDA (pre-exceptional) is defined as earnings before interest, tax,
depreciation (net of grant amortisation) and amortisation. Refer to note 4 of
the interim financial statements for the reconciliation of EBITDA
(pre-exceptional) to IFRS measures.
Reference HY 2025 HY 2024* HY 2024* Constant currency
Reported $'m Constant currency change
$m $m %
Performance Nutrition Note 4 108.2 156.4 155.7 (30.5%)
Health & Nutrition Note 4 60.9 44.7 44.8 35.9%
Dairy Nutrition Note 4 72.2 60.5 60.4 19.5%
EBITDA (pre-exceptional) Note 4, G 6.4 241.3 261.6 260.9 (7.5%)
EBITDA margin % (pre-exceptional) is defined as EBITDA (pre-exceptional) as a
percentage of revenue. Refer to G 1 for revenue and EBITDA (pre-exceptional)
is disclosed in the table above.
HY 2025 HY 2024* HY 2024* Constant currency
Reported % Constant currency change
% % bps
Performance Nutrition 12.7% 17.7% 17.6% (490) bps
Health & Nutrition 19.5% 16.9% 16.9% 260 bps
Dairy Nutrition 9.5% 9.0% 9.0% 50 bps
EBITDA margin (pre-exceptional) 12.5% 14.4% 14.3% (180) bps
*Restated to reflect the changes in reportable segments.
G 3. EBITA (pre-exceptional)
EBITA (pre-exceptional) is defined as earnings before interest, tax and
amortisation. EBITA (pre-exceptional) is one of the performance conditions in
Glanbia's Annual Incentive Plan for Senior Management.
Reference HY 2025 HY 2024
$m $m
EBITDA (pre-exceptional) G 2 241.3 261.6
Depreciation* (37.8) (35.1)
EBITA (pre-exceptional) 203.5 226.5
*Includes depreciation of property, plant and equipment of $26.6 million (HY
2024: $25.1 million) and depreciation of right-of-use assets of $11.2 million
(HY 2024: $10.0 million).
G 4. Constant currency earnings per share ("EPS") measures
G 4.1 Constant currency basic EPS
Basic EPS is an IFRS measure and defined in note 10 of the interim financial
statements.
Reference HY 2025 HY 2024 HY 2024 Year 2024
Reported Reported Constant currency Reported
$m $m $m $m
Profit after tax CGIS 99.4 143.3 142.8 164.7
Weighted average number of ordinary shares in issue (thousands) Note 10 254,596 261,916 261,916 260,554
Basic EPS (cent) Note 10 39.04 54.71 54.54 63.21
Constant currency change (28.4%)
G 4.2 Constant currency adjusted EPS
Adjusted EPS is defined as the profit after tax attributable to the equity
holders of the Company, before exceptional items and intangible asset
amortisation and impairment (excluding software amortisation), net of related
tax, divided by the weighted average number of ordinary shares in issue during
the period, excluding ordinary shares purchased by the Group and held as own
shares (see note 10). The Group believes that adjusted EPS provides useful
information of underlying performance as it excludes exceptional items (net of
related tax) that are not related to ongoing operational performance and
intangible asset amortisation, which allows for comparability of companies
that grow by acquisition to those that grow organically.
Adjusted EPS growth on a constant currency basis is one of the performance
conditions in Glanbia's Annual Incentive Plan and in Glanbia's Long-term
Incentive Plan.
Reference HY 2025 HY 2024 Reported HY 2024 Year 2024
Reported $m Constant currency Reported
$m $m $m
Profit after tax G 4.1 99.4 143.3 142.8 164.7
Exceptional charge after tax CGIS 32.6 9.2 9.5 145.6
Profit after tax (pre-exceptional) 132.0 152.5 152.3 310.3
Amortisation and impairment of intangible assets (excluding 28.5 26.1 26.2 54.5
software amortisation)*
Adjusted net income 160.5 178.6 178.5 364.8
Weighted average number of ordinary shares in issue (thousands) Note 10 254,596 261,916 261,916 260,554
Adjusted EPS (cent) G 8 63.03 68.20 68.14 140.03
Constant currency change (7.5%)
* Net of related tax of $3.8 million (HY 2024: $3.9 million, HY 2024
retranslated $3.9 million, FY 2024: $8.7 million).
G 5. Financing measures
G 5.1 Net debt
Net debt is calculated as current and non-current borrowings less cash and
cash equivalents. Refer to note 12 of the interim financial statements for net
debt at the end of the reporting period.
G 5.2 Net debt: adjusted EBITDA
Net debt: adjusted EBITDA is calculated as net debt at the end of the period
divided by adjusted EBITDA. Adjusted EBITDA is calculated in accordance with
lenders' facility agreements definitions which adjust EBITDA for items such as
exceptional items, dividends received from related parties, acquisitions or
disposals and reversal of the net impact on EBITDA as a result of adopting
IFRS 16 "Leases". Adjusted EBITDA is a rolling 12 month measure (a period of
12 consecutive months determined on a rolling basis with a new 12 month period
beginning on the first day of each month).
Reference HY 2025 HY 2024 Year 2024
$m $m $m
Net debt Note 12 650.0 645.4 436.0
Rolling EBITDA 531.0 522.8 551.3
Adjustments in line with lenders' facility agreements (23.0) 4.3 (15.6)
Rolling adjusted EBITDA 508.0 527.1 535.7
Net debt: adjusted EBITDA 1.28 times 1.22 times 0.81 times
G 5.3 Adjusted EBIT: adjusted net finance cost
Adjusted EBIT: adjusted net finance cost is calculated as earnings before
interest and tax adjusted for the IFRS 16 "Leases" impact on operating profit
plus dividends received from related parties divided by adjusted net finance
cost. Adjusted net finance cost comprises finance costs plus borrowing
costs capitalised into assets less adjustments including interest expense on
lease liabilities and finance income/costs on contingent consideration and
remeasurements of call options. This measure and the numbers in the table
below are on a rolling 12 month basis (a period of 12 consecutive months
determined on a rolling basis with a new 12 month period beginning on the
first day of each month).
HY 2025 HY 2024 Year 2024
$m $m $m
Operating profit 254.9 375.9 234.7
Exceptional charge/(credit) 118.5 (2.6) 161.4
Operating profit (pre-exceptional) 373.4 373.3 396.1
Dividends received from related parties 5.0 12.5 5.0
IFRS 16 adjustment - interest paid on lease liabilities (3.2) (2.5) (3.0)
Adjusted EBIT 375.2 383.3 398.1
Net finance cost 30.0 16.4 26.8
IFRS 16 adjustment - interest expense on lease liabilities (3.2) (2.7) (3.0)
Adjusted net finance cost 26.8 13.7 23.8
Adjusted EBIT: net finance cost 14.0 times 28.0 times 16.7 times
G 5.4 Average interest rate
The average interest rate is defined as the rolling 12 month adjusted net
finance cost divided by average net debt. Adjusted net finance cost comprises
finance costs plus borrowing costs capitalised into assets less adjustments
including interest expense on lease liabilities and finance income/costs on
contingent consideration and remeasurements of call options. Average net debt
and adjusted net finance cost are rolling 12 month measures (a period of 12
consecutive months determined on a rolling basis with a new 12 month period
beginning on the first day of each month).
G 6. Cash flow measures
G 6.1 Operating cash flow ("OCF")
OCF is defined as EBITDA (pre-exceptional) net of business-sustaining capital
expenditure and working capital movements, excluding exceptional cash flows.
Reconciliation of OCF to cash generated from operating activities before
exceptional items:
Reference HY 2025 HY 2024
$m $m
Cash generated from operating activities before exceptional items CGSCF 66.8 122.3
Less: business-sustaining capital expenditure G 6.4, G 10(b) (13.5) (14.6)
Non-cash items not adjusted in computing OCF:
- Cost of share-based payments Note 17 (8.6) (9.6)
- Other items 0.7 0.7
OCF G 6.4 45.4 98.8
G 6.2 Free cash flow ("FCF")
FCF is calculated as the net cash flow in the year before the following items:
strategic capital expenditure, dividends paid to Company shareholders,
loans/investments in related parties, exceptional costs paid, payment for
acquisition of subsidiaries, proceeds received on disposals and purchase of
own shares under share buyback. Refer to G 6.1 and G 6.4 for the
reconciliation of FCF to CGSCF.
G 6.3 Operating cash conversion ("OCF Conversion")
OCF conversion is defined as OCF divided by EBITDA (pre-exceptional). OCF
conversion is a measure of the Group's ability to convert adjusted trading
profits into cash and is an important metric in the Group's working capital
management programme. The measure is a key element of Executive Director and
senior management remuneration. This measure and the numbers in the table
below are on a rolling 12 month basis (a period of 12 consecutive months
determined on a rolling basis with a new 12 month period beginning on the
first day of each month).
HY 2025 HY 2024
$m $m
Operating cash flow 431.6 503.4
EBITDA (pre-exceptional) 530.9 522.8
OCF conversion % 81.3% 96.3%
G 6.4 Summary cash flow
The summary cash flow is prepared on a different basis to the CGSCF and as
such the reconciling items between EBITDA and net debt movement may differ
from amounts presented in the CGSCF. The summary cash flow details movements
in net debt while the CGSCF details movements in cash and cash equivalents.
The reconciliations of various reconciling items in the summary cash flow to
IFRS information are presented separately in G 10 for a clear presentation of
information.
Reference HY 2025 HY 2024
$m $m
EBITDA (pre-exceptional) G 2 241.3 261.6
Movement in working capital (pre-exceptional) G 10(a) (182.4) (148.2)
Business-sustaining capital expenditure G 6.1, G 10(b) (13.5) (14.6)
Operating cash flow G 6.1 45.4 98.8
Net interest and tax paid G 10(c) (41.7) (26.0)
Payments of lease liabilities CGSCF (11.8) (10.7)
Other outflows G 10(d) (11.5) (8.5)
Free cash flow (19.6) 53.6
Strategic capital expenditure G 10(b) (34.2) (30.3)
Dividends paid to Company shareholders CGSCF (67.4) (59.6)
Purchase of own shares under share buyback G 10(e) (68.3) (54.0)
Proceeds from disposal of property, plant and equipment CGSCF - 1.9
Exceptional costs paid CGSCF (18.3) (9.1)
Acquisitions/disposals G 10(f) - (298.8)
Net cash flow (207.8) (396.3)
Exchange translation Note 12 (6.2) (2.1)
Cash acquired on acquisition - 1.7
Net debt movement (214.0) (396.7)
Opening net debt Note 12 (436.0) (248.7)
Closing net debt Note 12 (650.0) (645.4)
G 7. Effective tax rate
The effective tax rate is defined as the pre-exceptional income tax charge
divided by the profit before tax less share of results of joint venture.
Reference HY 2025 HY 2024
$m $m
Income tax CGIS 15.1 26.4
Exceptional tax credit CGIS 7.6 2.0
Income tax (pre-exceptional) CGIS 22.7 28.4
Profit before tax CGIS 114.5 169.7
Exceptional charge CGIS 40.2 11.2
Profit before tax (pre-exceptional) CGIS 154.7 180.9
Less: share of results of joint venture (pre-exceptional) CGIS (3.4) (3.7)
151.3 177.2
Effective tax rate 15.0% 16.0%
G 8. Dividend payout ratio
Dividend payout ratio is defined as the US dollar equivalent interim dividend
per ordinary share divided by the Adjusted EPS. US dollar equivalent dividend
is based on the actual dividend recommendation/payment in euro, retranslated
to US dollar at the average exchange rate in the period. The dividend payout
ratio provides an indication of the value returned to shareholders relative to
the Group's total earnings.
Reference HY 2025 HY 2024
Adjusted EPS G 4.2 $ 63.03c $ 68.20c
Dividend recommended/paid per ordinary share in euro Note 9 € 17.20c € 15.64c
Equivalent US dollar dividend translated at average exchange rate in the $ 18.87c $ 16.91c
period
Dividend payout ratio 29.9% 24.8%
G 9. Compound annual growth rate ("CAGR")
CAGR is the annual growth rate over a period of years. It is calculated on the
basis that each year's growth is compounded.
G 10. Cash flow items
(a) Movement in working capital
Reference HY 2025 HY 2024`
$m $m
Movement in working capital (pre-exceptional) Note 17 (192.3) (154.5)
Net write down of inventories (pre-exceptional) Note 17 10.1 10.4
Other reconciling items (0.2) (4.1)
Total movement in net working capital G 6.4 (182.4) (148.2)
(b) Capital expenditure
Business-sustaining capital expenditure: the Group defines business-sustaining
capital expenditure as the expenditure required to maintain/replace existing
assets with a high proportion of expired useful life. This expenditure does
not attract new customers or create the capacity for a bigger business. It
enables the Group to keep operating at current throughput rates but also keep
pace with regulatory and environmental changes as well as complying with new
requirements from existing customers.
Strategic capital expenditure: the Group defines strategic capital expenditure
as the expenditure required to facilitate growth and generate additional
returns for the Group. This is generally expansionary expenditure beyond what
is necessary to maintain the Group's current competitive position.
Reference HY 2025 HY 2024`
$m $m
Business-sustaining capital expenditure G 6.1, G 6.4 13.5 14.6
Strategic capital expenditure G 6.4 34.2 30.3
Total capital expenditure 47.7 44.9
Payments for property, plant and equipment CGSCF 23.8 29.8
Payments for intangible assets CGSCF 23.9 15.1
Total capital expenditure per CGSCF 47.7 44.9
(c) Net interest and tax paid
Reference HY 2025 HY 2024`
$m $m
Interest received CGSCF 1.7 4.3
Interest paid (including interest paid on lease liabilities) CGSCF (14.7) (13.5)
Tax paid CGSCF (28.7) (16.8)
Total net interest and tax paid G 6.4 (41.7) (26.0)
(d) Other inflows/(outflows)
Reference HY 2025 HY 2024`
$m $m
Cost of share-based payments Note 17 8.6 9.6
Purchase of own shares by Employee Share (Scheme) Trust G 10(e) (19.4) (17.7)
Other reconciling items (0.7) (0.4)
Total other outflows G 6.4 (11.5) (8.5)
(e) Purchase of own shares
Reference HY 2025 HY 2024`
$m $m
Purchase of own shares under share buyback G 6.4 (68.3) (54.0)
Purchase of own shares by Employee Share (Scheme) Trust G 10(d) (19.4) (17.7)
Total purchase of own shares CGSCF (87.7) (71.7)
(f) Acquisitions/disposals
Reference HY 2025 HY 2024
$m $m
Payment for acquisition of subsidiaries - (298.8)
Total acquisitions/disposals G 6.4 - (298.8)
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