Glanbia Reports Rise in Pretax Profit for H1 2024

By Anthony O. Goriainoff

Glanbia, the Irish nutrition group, announced an increase in pretax profit for the first half of fiscal 2024. This boost was attributed to an exceptional net post-tax gain. However, the company has revised its revenue guidance for Glanbia Performance Nutrition (GPN) for the year.

New CEO Appointment

Hugh McGuire, currently the CEO of GPN, will be appointed as the new chief executive officer effective Jan. 1.

Financial Performance

For the six months ending July 1, Glanbia's pretax profit reached $214 million, compared to $157.6 million the previous year. During this period, the company recorded an exceptional net post-tax gain of $56.5 million. Adjusted earnings before interest, taxes and amortization (EBITA) were up by 6.1% on a constant currency basis, reaching $198.6 million.

Decrease in Revenue

Glanbia experienced a decline in revenue, falling from $3.09 billion to $2.77 billion. This decrease can be attributed to lower volumes, a 12% decrease in price, as well as reductions related to mergers and acquisitions.

Revised Guidance

The company expects revenue growth for the GPN division to be at the lower end of the previously guided range of 5% to 7% on a constant currency basis. However, Glanbia upgraded its full-year EBITA margin expectations to be between 13.5% and 14.5%. Additionally, adjusted earnings per share growth for the year has been revised to between 12% and 15% based on an improved outlook for GPN. The initial forecast in March predicted adjusted EPS growth of 5% to 10%.