Kerry Group has reported net profit of €525m for 2015, an advance of 9.4% on the outcome in 2014.

Revenue improved to 6% through 2015 to €6,105m and the group’s trading profit increased by 10% to €700m.

The plc is paying a final dividend of 35 cents per share on top of the interim dividend of 15c. The 50c per share total dividend is an increase of 11.1% on 2014.

Kerry Group chief executive Stan McCarthy (pictured) commented: “In a record year of business development in 2015, the group achieved a strong financial performance, delivering continued business margin expansion and 8.2% growth in adjusted earnings per share.

“Our industry-leading technologies are well positioned to meet today’s consumer and customer requirements. We expect to achieve 6% to 10% growth in adjusted earnings per share in 2016 taking into account a 3% currency headwind at today’s exchange rates”.

In Association with

Profit Margin

McCarthy added that the group’s trading profit margin increased 40 basis points to 11.5%. The improvement was attributed to operating leverage and improved product mix, coupled with the benefits accruing through the 1 Kerry business transformation programme and the positive impact from exiting non-core business activities.

Free cashflow in 2015 was €454m (2014: €303m) and net debt at the end of the year was €1,650m (2014: €1,195m).

Following major acquisition investment in 2015, McCarthy said the group will invest in extending and broadening the newly acquired technologies into wider taste and nutrition markets throughout all geographic regions and markets.

“In consumer foods’ markets, the restructured Kerry Foods portfolio is well positioned to capitalise on today’s snacking, convenience and food-to-go trends. Kerry Foods is now focused on expanding its footprint into new growth categories and channels, and into selected international markets,” said McCarthy.

“Capital resources will continue to be invested in organic development of the group’s technology growth platforms and manufacturing footprint in developing markets - supporting customer initiatives in advancing continued food safety improvements.

“The group expects to achieve 6% to 10% growth in adjusted earnings per share to a range of 320 to 332 cent per share in 2016 (2015: 302c share) taking into account a 3% currency headwind at current exchange rates.”