Nomad Foods has guided to another year of falling sales and profits as newly installed CEO Dominic Brisby sets out on a “transition” phase.
The European frozen-food supplier reported annual results shaded in red today (26 February) and pointed to a more protracted decline in organic sales for 2026. Both adjusted EBITDA and EPS also have potential for significant downside built into the outlook.
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Brisby only took the helm at the listed group last month so had little bearing on the latest results for the 12 months to 31 December.
Organic sales were down 1.9% at €3bn ($3.54bn) complete with a volume reduction of 1.4% and a 0.5% drop in price/mix. Reported sales revenue fell 2.2%.
Nomads Foods expects organic revenue to decrease by 2-5% in fiscal 2026 in what Brisby said will be a “transition year as it enacts numerous changes to strengthen the organisation, improve fundamental performance and unlock meaningful value-creation potential”.
Adjusted EBITDA dropped 7.5% last year to €523m and is projected to mark-up a decline of 5-10% in the new financial year.
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By GlobalDataAdjusted EPS was down 6.7% at €1.66. Nomad forecasts the metric will fall another 4-13% to a range of €1.45 to €1.60.
An estimate based on the US dollar/euro exchange rate of 19 February, pencils in an adjusted EPS print of $1.71-$1.89, the New York-listed group said.
Brisby said today Nomad has “work to do to unlock our full potential”.
He added: “We have a number of opportunities to address in the organisation, and we will be focused on these in the coming months. We continue to streamline the organisation to increase our speed, agility, focus and accountability.
“We believe we can and will deliver better results but we anticipate 2026 being a transition year as our financial outlook reflects the time required to implement and manage change.”
Brisby replaced Stéfan Descheemaeker, who retired from the group after 11 years leading the Birds Eye and Iglo brands owner. He joined from dairy-alternatives business Flora Food Group.
Before his departure, Descheemaeker outlined a €200m cost-savings programme from 2026 through 2028. It is unclear at this stage whether Brisby will stick with the plan as markets await more details on the transition content.
Nomad’s base profits slid 39.8% to €137m, including €57m of losses net of tax due to refinancing of debt in the fourth quarter.
Co-chairman and founder Noam Gottesman said: “While it has only been a few months, I am encouraged by the rapid changes being implemented at Nomad Foods and the multi-year vision that is beginning to unfold.
“Dominic and his team have a lot of work ahead of them, but they are starting from a good place.”
