Glanbia revenues up 33 per cent

Food group Glanbia has raised its full-year targets after posting revenues which were 33.4 per cent higher during the first six months of 2011.

Group revenues rose to €1.63 billion in the first half of 2011 compared to €1.22 billion for the same period a year earlier.

Pre-tax profits totalled €82 million, up by 36 per centfrom €60 million. These figures included an €8.7 million charge arising from the introduction of cost-cutting measures at the group's Irish consumer products business.

Operating profit before once-off items rose 38.5 per cent to €91.5 million in the first-half, while adjusted earnings per share grew by 55 per cent, when adjusted for currency movements.

Adjusted earnings per share increased 55.3 per cent to 28.91 cents.

Earnings before interest, tax, depreciation and amortisation (ebitda) increased 42.7 per cent to €105million from €73.6 million for the first-half of 2010. US Cheese & Global Nutritionals EBITA grew 34.1 per cent to €70.4 million from €52.5 million, mainly due to growing demand across all key nutritional markets and product categories.

Ebitda for Dairy Ireland, was up €13.6 million to €35.0 million, Glanbia said.

A 10 per cent higher interim dividend of 3.33 cent is to be paid.

"We have had an excellent first half delivering adjusted earnings per share growth of 55 per cent, on a constant currency basis. Global dairy markets were strong as growth in dairy consumption in developing regions underpinned sustained demand and higher prices. US dairy markets were also significantly higher relative to the first half of last year." said group managing director John Moloney.

"Glanbia continues to perform well. The overall trading environment remains positive and while global dairy market prices appear to have peaked in the current cycle, indications are for a relatively modest softening in prices for the remainder of the year. Demand-led growth across all product categories in Global Nutritionals is also strong," he added.

Glanbia upgraded its full-year outlook to between 18 per cent to 20 per cent growth in adjusted earnings per share, on a constant currency basis."