Nomad Foods Delivers Another Year of Solid Growth
Nomad Foods, the largest frozen foods company in Western Europe, has reported a 7.0% increase in revenue to €2.324 billion and a 15% rise in adjusted EBITDA to €432 million for 2019. Organic revenue growth was 2.1%, comprising of 3.8% growth in price and a 1.7% decline in volume/mix. The adjusted EBITDA increase included a benefit of €17.7 million related to IFRS 16.
Stéfan Descheemaeker, chief executive of Nomad Foods, comments: “We are pleased to report another year of solid growth. In 2019, we achieved a third consecutive year of organic revenue growth and exceeded our guidance despite certain external challenges, namely raw material inflation and Brexit uncertainty. We enter 2020 well positioned to deliver another year of profitable growth.”
Stefan Descheemaeker, chief executive of Nomad Foods.
During the year, Nomad Foods launched Green Cuisine, a new range of meat-free products, under the famous Birds Eye brand in the UK, drawing on the brand’s heritage in peas and its market-leading position in frozen food. The introduction of Green Cuisine in the UK follows the successful launch of Pease, a range of pea-protein products sold under the Findus brand in Sweden, Norway, Finland and Denmark.
Stefan Descheemaeker continues: “Our expansion into Green Cuisine presents an attractive incremental growth opportunity within the fast growing meat-free segment. We also expect our supply chain productivity program to begin to drive meaningful cost savings and fuel growth. Finally, our strong balance sheet and cash flow provide us with the resources and flexibility to execute on our M&A strategy.”
Noam Gottesman, co-chairman and founder of Nomad Foods, says: “Fourth quarter and full year results reflect the strength and durability of our business model. We have an exciting year ahead and remain well positioned to sustain our growth and continue to meet the needs of our consumers and our retail partners. We look forward to achieving another year of organic revenue growth and remain actively focused on acquisitions which, based on our balance sheet, have the potential to translate into significant earnings power.”
For the full year 2020, adjusted EBITDA is expected to be approximately €440 to €445 million and EPS approximately €1.19 to €1.21. Full year guidance assumes organic revenue growth at a low-single digit percentage rate.
