Irish food company Kerry Group has updated its medium-term growth targets and says it is targeting 2% to 3% annual volume growth in its consumer foods division.

The group – known for spreads, cheese products and sausages with brands including Richmond, Dairygold and Matthesons – is targeting 3% to 5% volume growth annually on a group-wide basis.

Addressing investors at its capital markets day, Kerry Group chief executive Edmond Scanlon said that the group expects to deliver in excess of 10% adjusted earnings per share growth on a constant currency basis on average per annum over the next five year cycle. 

“This will be delivered through achievement of above industry-average volume growth and continued business margin expansion,” he said.

Its Taste & Nutrition division is targeted to achieve 4% to 6% volume growth. 

In terms of trading profit margin progression, Kerry Foods confirmed that margin in Taste & Nutrition is targeted to grow by 40 basis points per annum and margin in Consumer Foods by 20 basis points, which will contribute a 30 basis points group margin improvement per annum on average across the five year cycle.

Scanlon added: “Kerry Group has a unique scalable business model which I am confident can deliver the continued organic growth of the business across developed and developing markets as planned.

“We are in a strong position to lead the continued consolidation of our industry benefiting from the group’s strong balance sheet, scalable business model and geographic footprint.

“Return On Average Capital Employed (ROACE) is the group’s key financial return metric, the target for which remains to achieve a return in excess of 12% per annum.”