Nomad Foods Limited reported financial results for the three and nine month periods ended September 30, 2023, that showed an organic revenue growth of 1.6%.
For Q3, 2023 results compared to the Q3, 2022, revenue increased 0.5% to EUR764m, while organic revenue growth of 1.6% was comprised of a 11.2% decline in volume/mix offset by a 12.8% increase in price. Gross profit decreased 2.0% to EUR217m and gross margin declined 70 basis points to 28.4%, due to an unfavorable comparison in the timing of pricing delivery in the prior year. Meanwhile, adjusted operating expenses increased 10.7% to EUR100m due to increased A&P investment in the business.
“In the third quarter, we maintained our organic sales momentum from the first half of the year. Additionally, during September we kicked off our stepped-up A&P investment plan with a new and dynamic media campaign augmented by a comprehensive in-store promotional program, positioning us for a return to sustainable, long-term volume and market share growth,” according to Stéfan Descheemaeker, Nomad Foods’ chief executive officer. “As a result of our third quarter operational performance, share repurchase, and our positive expectations for the end of 2023, we are again raising our Adjusted EPS guidance range to EUR1.57 to EUR1.60 from our previous range of EUR1.54 to EUR1.57. We maintain our guidance for Adjusted Free Cash Flow conversion in the range of 90% to 95%, and we are on course to generate approximately EUR250m of Adjusted Free Cash Flow for the year.”
Find out more at: http://www.nomadfoods.com/