Last checked at 10 May 2017 08:33
GREENCORE GROUP PLC
NOTIFICATION OF REPORTING CHANGES
10 May 2017
Greencore Group plc ("Greencore" or the "Group"), a leading manufacturer of convenience food in the UK and US, announces a change to its reporting structure as well as the restatement of its historic earnings per share and dividend per share.
Change in reporting structure of Operating Segments
Following the acquisition of Peacock Foods in the US, which completed on 30 December 2016, Greencore has simplified its reporting structure. The Group will now have two separate reporting segments:
1. Convenience Foods UK & Ireland: incorporating Food to Go (i.e. sandwiches, sushi and salads), and other UK & Ireland businesses including Prepared Meals (i.e. ready meals, quiche, soups and sauces), the Grocery set of businesses (i.e. cooking sauces, Yorkshire Puddings, cakes and desserts) and the edible oils and molasses trading businesses (formerly known as the Ingredients & Property Division)
2. Convenience Foods US: incorporating Greencore's existing US business and the acquired Peacock Foods business (i.e. a wide range of fresh, frozen and ambient convenience food products - including sandwiches, meal kits and salads kits - and a customer base including CPG companies as well as convenience retail and food service leaders)
The following table sets out the revenue and Group operating profit (before exceptional items and amortisation of acquisition related intangible assets) for both the half year ended 25 March 2016 and the full year ended 30 September 2016 as reported and as restated under the revised reporting segments:
| As Reported |
| Restated | ||
| Full Year 2016 | Half Year 2016 |
| Full Year 2016 | Half Year 2016 |
| £m | £m |
| £m | £m |
Revenue |
|
|
|
|
|
Convenience Foods | 1,435.2 | 667.9 |
|
|
|
Ingredients & Property | 46.7 | 23.7 |
|
|
|
|
|
|
|
|
|
Convenience Foods UK & Ireland |
|
|
| 1,258.8 | 590.4 |
Convenience Foods US |
|
|
| 223.1 | 101.2 |
Total | 1,481.9 | 691.6 |
| 1,481.9 | 691.6 |
|
|
|
|
|
|
Group Operating Profit before exceptional items and amortisation of acquisition related intangible assets |
|
|
|
|
|
Convenience Foods | 100.0 | 42.9 |
|
|
|
Ingredients & Property | 2.0 | 0.6 |
|
|
|
|
|
|
|
|
|
Convenience Foods UK & Ireland |
|
|
| 104.1 | 46.7 |
Convenience Foods US |
|
|
| (2.1) | (3.2) |
Total | 102.0 | 43.5 |
| 102.0 | 43.5 |
Earnings per Share Restatement
The Group completed a rights issue during December 2016, the purpose of which was to fund the acquisition of Peacock Foods, which completed on 30 December 2016. Following the completion of a rights issue, the Group is required to restate historic earnings per share to reflect the bonus element of the rights issue. The weighted average number of shares for both the half year ended 25 March 2016 and the full year ended 30 September 2016 have been restated below to incorporate the bonus share element of the rights issue. In addition, Basic Earnings per Share, Adjusted Basic Earnings per Share, Diluted Earnings per Share and Adjusted Diluted Earnings per Share have been restated to reflect the revised weighted average number of shares in issue.
Revised Basic Earnings per share, Adjusted Basic Earnings per Share, Diluted Earnings per Share and Adjusted Diluted Earnings per Share figures:
|
|
|
|
| As Reported |
| Restated | ||||
|
|
|
|
| Full Year 2016 | Half Year 2016 |
| Full Year 2016 | Half Year 2016 | ||
Earnings per Ordinary Share (pence) |
|
|
|
|
|
| |||||
Basic earnings per Ordinary Share |
|
| 11.6 | 4.9 | 9.5 | 4.0 | |||||
Adjusted earnings per Ordinary Share |
|
| 19.5 | 8.2 | 16.0 | 6.7 | |||||
Diluted earnings per Ordinary Share |
| 11.4 | 4.8 | 9.4 | 4.0 | ||||||
Adjusted diluted earnings per Ordinary Share | 19.2 | 8.1 | 15.8 | 6.6 | |||||||
Denominator for the Basic Earnings per share, Adjusted Basic Earnings per Share, Diluted Earnings per Share and Adjusted Diluted Earnings per Share calculation:
|
| As Reported |
| Restated | |||||||
|
|
|
|
| Full Year 2016 | Half Year 2016 |
| Full Year 2016 | Half Year 2016 | ||
|
|
|
|
|
| ||||||
Weighted average number of ordinary shares in issue during the period - for basic and adjusted EPS | 409,256 | 408,202 | 497,878 | 496,596 | |||||||
|
|
|
|
|
|
| |||||
|
|
|
|
| |||||||
Weighted average number of ordinary shares in issue during the period - for diluted basic and adjusted diluted basic EPS | 414,584 | 413,656 | 504,360 | 503,231 | |||||||
Dividend per Share Restatement
The Group completed a rights issue during December 2016, the purpose of which was to fund the acquisition of Peacock Foods, which completed on 30 December 2016. For comparative purpose, the Group is restating historic dividend per share, to reflect the bonus element of the rights issue, for the Interim, Final and Total dividend for the year ended 30 September 2016.
Revised Dividend per Share figures:
Dividend per Ordinary Share (pence) |
|
|
|
| |||||
|
|
| As reported |
| Restated |
| |||
Interim dividend for the year ended 30 September 2016 |
|
| 2.55 |
| 2.10 |
| |||
Final dividend for the year ended 30 September 2016 |
|
| 4.10 |
| 3.37 |
| |||
Total dividend for the year ended 30 September 2016 |
|
| 6.65 |
| 5.47 |
| |||
For further information, please contact:
Patrick Coveney | Chief Executive Officer | Tel: +353 (0) 1 605 1045 |
Eoin Tonge | Chief Financial Officer | Tel: +353 (0) 1 605 1029 |
Rob Greening or Nick Brown | Powerscourt | Tel: +44 (0) 20 7250 1446 |
About Greencore
Greencore is a leading international producer of convenience foods with extensive operations in the UK and the US. Headquartered in Dublin, it employs 16,000 people in 30 manufacturing facilities across the UK and the US. On average, it manufactures around 1.5 billion sandwiches and 140 million ready meals every year.
In the UK, it has strong market positions across sandwiches and other food to go products as well as complementary positions in other convenience food categories, including chilled prepared meals, chilled soups and sauces, ambient sauces & pickles, cakes & desserts and Yorkshire Puddings. It is a supplier of own-label products to all of the major UK supermarkets, and has world-class manufacturing sites with industry-leading technology and supply chain capabilities.
Following its acquisition of Peacock Foods in in 2016, Greencore is now a leading manufacturer of consumer packaged goods for many of the largest food brands in the US. Greencore also produces chilled and frozen food to go products for convenience retail and food service leaders in the US.
For more information go to www.greencore.com or follow Greencore on social media.