Glanbia has reported that its total group revenue for the three months ending 2 April 2016 declined by -2.5% on a reported basis and -3.3% on a constant currency basis compared with the previous year.
The ingredients and nutrition group behind the Avonmore milk brand says that this was driven by volume growth of just 0.5%, as well as price declines of -5.8%, mainly due to falling dairy market prices.
Despite the fall in revenue, Glanbia Managing Director Siobhán Talbot said that the company delivered a "good performance".
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She commented that, "Our growth platforms of Glanbia Performance Nutrition and Global Ingredients delivered volume growth in the first quarter. Our ongoing strategy of building a business to deliver better nutrition via consumer brands and high-quality ingredients has mitigated the impact of weak dairy markets.
"The outlook for the remainder of 2016 is positive and we reiterate our full year guidance of adjusted earnings per share growth of 8% to 10% on a constant currency basis."
Acquisitions have played a key role in the company’s sports nutrition arm, Glanbia Performance Nutrition, allowing its volumes to grow by 2% and its revenues to grow by 5.6%.
However, revenue for its Global Ingredients business fell by -5.2%, even though volumes for the first three months of 2016 were up 1.5%.
© 2016 - Checkout Magazine by Jenny Whelan.