In posting Q1 financial results on May 6, Nomad Foods CEO Stéfan Descheemaeker was pleased to report that the company is off to a strong start this year as both revenue and adjusted earnings per share set performance records.
Turnover increased 3.6% to €707 million, with organic revenue growth of 1.8% and reported profit for the period hitting €49 million. Adjusted gross profit increased 8% to €215 million. Adjusted EBITDA was €138 million and Adjusted EPS amounted to €0.47.
“We achieved healthy organic revenue growth notwithstanding year-ago comparisons which reflected elevated growth resulting from pantry loading at the onset of the pandemic,” said Descheemaeker. “This was complemented by 180 basis points of Adjusted EBITDA margin expansion driven by strong gross margins and expense discipline. The combination of strong base business performance, the inclusion of Findus Switzerland and accretion from share repurchases in 2020 led to Adjusted EPS growth of 42% in Q1. These results have us on pace to deliver another stellar year for Nomad Foods.”
Noam Gottesman, co-chairman and founder of the Feltham, England-headquartered frozen food company, commented: “Organic growth, margin expansion and capital allocation all contributed to robust first quarter results. This strong performance gives us further confidence in our 2021 guidance which will mark our fifth consecutive year of organic revenue and Adjusted EPS growth.
“We remain excited about the future as we work to capitalize on our momentum, integrate Findus Switzerland and close the acquisition of Fortenova’s Frozen Food Business Group later this year. This latest acquisition will expand our frozen food leadership into eight new markets, introduce us to the ice cream category and present multiple avenues for value creation in the coming years.”