Irish food manufacturer Kerry Group has booked a decline in first-half profits.
In the six months to the end of June, profits after taxation dropped to EUR107.6m (US$132.8m) from EUR144.4m last year. Operating profit declined 23.9% to EUR154.7m.
The cost of integrating recent acquisitions and charges from restructuring measures were factors that hit profits.
However, adjusted profit before tax and non-trading items increased by 13.7% to EUR209m.
Revenue climbed 10% to EUR2.9bn. Like-for-like sales were up 2.5%, taking into account acquisitions, disposals and currency translation.
Sales from the firm’s consumer foods division increased 1.8% to EUR881m in the period but trading margins remained flat at 7.3%.
Sales from Kerry’s ingredients and flavours division were up 14% to EUR2.07bn, with trading margin up 30 basis points to 10.3%.
Kerry said it is confident of delivering its full-year growth objectives and has revised adjusted EPS guidance. It now expects to post EPS of 8-12 cents, up from a forecast of 7-10 cents in May.