Kerry Group preliminary statement of results for year ended 31 December 2022

A year of record growth in a dynamic operating environment
Kerry Group preliminary statement of results for year ended 31 December 2022
Photo - Kerry Group


  • Group revenue of 8.8 billion euros reflecting, 18.0% organic growth

  • Group volume growth of 6.1% and pricing of +11.7%

  • Taste & Nutrition volume +7.8% | pricing +8.7%

  • Dairy Ireland volume +0.2% | pricing +36.0%

  • EBITDA increased by 12.9% to 1.2 billion euros

  • EBITDA margin of 13.9% (2021: 14.7%)

  • Adjusted EPS of 440.6 cents; +7.3% in constant currency (15.7% reported currency growth)

  • Basic EPS of 341.9 cents (2021: 430.6 cents)

  • Free cash flow of 640m euro reflecting 82% cash conversion

  • Final dividend per share of 73.4 cents (total 2022 dividend up 10.1% to 104.8 cents)

  • Strong progress on sustainability commitments, including increasing our nutritional reach to 1.2 billion consumers

Edmond Scanlon, chief executive officer, says, “As we marked Kerry’s 50th year in 2022, we achieved record organic revenue growth against the backdrop of an exceptionally dynamic operating environment. I am proud of the broad-based volume growth we delivered across our end-use markets, channels, regions, and emerging markets, despite the macroeconomic conditions. Our teams worked closely with our customers to actively manage through the inflationary environment while continuing to innovate and develop their offerings to meet evolving marketplace needs."

"We made good strategic progress in the year through the development of our innovation platforms, footprint expansion, and continued portfolio development. We completed several acquisitions aligned with our strategic priorities of Taste, Nutrition, and Emerging Markets, and since year-end, we announced the potential sale of our Sweet Ingredients Portfolio, as we continue to enhance and refine our business to areas where we can add the most value."

"While recognizing the current market uncertainty, we believe in being strongly positioned to continue to grow our business through this period. In 2023, we expect to achieve 3% to 7% adjusted earnings per share growth on a constant currency basis before the dilution from the potential sale of the Sweet Ingredients Portfolio.”


The group, reported revenue in the year increased by 19.3% to €8.8 billion. This reflected volume growth of 6.1%, increased pricing of 11.7%, favorable transaction currency of 0.2%, favorable translation currency of 6.8%, and contribution from business acquisitions of 4.3%, partially offset by the impact of business disposals of 9.8%.

Group EBITDA increased by 12.9% to 1.2 billion euros, with an EBITDA margin of 13.9% (2021: 14.7%), as the dilution from the impact of passing through input cost inflation was partially offset by accretion from portfolio developments, operating leverage, mix, and efficiency initiatives.

Constant currency-adjusted earnings per share increased by 7.3% to 440.6 cents (2021: 12.1% increase). Basic earnings per share were 341.9 cents (2021: 430.6 cents) as the prior year included a credit from the sale of the Consumer Foods Meats and Meals business. The Board recommends a final dividend of 73.4 cents per share, an increase of 10.0% on the final 2021 dividend. Together with the interim dividend of 31.4 cents per share, this brings the total dividend for the year to 104.8 cents, an increase of 10.1% in 2021.

Research and development expenditure amounted to 303m euros(2021: 297m euros), and net capital expenditure was 217m euros (2021: 315m euros) as the Group continued to invest in its strategic priorities of Taste, Nutrition, and Emerging Markets. Free cash flow for the year was 640m euros (2021: 566m euros) representing a cash conversion of 82%.

Good progress was made in the year against the Beyond the Horizon sustainability strategy and commitments. Kerry increased its nutritional reach to 1.2 billion consumers globally. The Group achieved a 48% reduction in Scope 1 & 2 carbon emissions, while strong progress was made in reducing food waste in Kerry’s operations by 32%.


The overall demand environment remained robust throughout the year despite the macroeconomic backdrop. Consumers continued to seek new taste experiences, cleaner labels, and added functional benefits through food and beverages. The cost-of-living crisis has resulted in many consumers looking for relative value options to meet their purchase preferences, depending on their available resources.

Customers continued to prioritize the resiliency of their supply chains through this period of inflationary pressure. Innovation has become increasingly more targeted as they seek to meet various consumer preferences within different price ranges. Customers are working with and looking for supplier partners to support them in addressing these current market challenges and opportunities as they navigate through this dynamic operating environment.

Business Reviews

Taste & Nutrition

Excellent growth across our end use markets, regions and channels

Photo - Kerry Group
  • Overall volume growth of 7.8% with strong Q4 performance of 6.1%

  • Very strong growth across our Food and Beverage EUMs – particularly Meat, Snacks, Dairy, and Bakery

  • Retail channel volume growth of 5.5% and food service growth of 14.0%

  • Pricing of 8.7% reflected the management of input cost inflation

  • EBITDA margin reduction resulting from the effect of passing through input cost inflation

Taste & Nutrition, reported revenue increased by 29.4% to 7.4 billion euro in the year. This reflected volume growth of 7.8%, increased pricing of 8.7%, favorable transaction currency of 0.2%, and translation currency of 8.2%, with a contribution from acquisitions (net of disposals) of 4.5%.

Very strong volume growth was achieved throughout the year across all regions despite the backdrop of managing significant price increases and supply chain constraints. This volume growth was supported by strong performances in authentic taste technologies across botanicals, natural extracts, and Tastesense salt and sugar reduction, while Kerry’s range of food waste reduction technologies continued to perform well.

The retail channel delivered strong growth with customers targeting innovation around new taste experiences, relative value options, improved nutrition, and food waste reduction. Kerry’s food service channel delivered very strong growth through seasonal products and limited-time offerings, combined with continued co-development on back-of-house efficiencies. Business volumes in emerging markets increased by 10.4% in the year, as very strong growth in the Middle East, Southeast Asia, and LATAM was partially offset by challenging conditions in China.

Americas Region

  • Volume growth of 8.4% with Q4 performance of 6.2%

  • Growth led by Meat, Beverage, and Bakery

  • Very strong growth across both retail and food service channels

  • LATAM delivered excellent growth

Revenue in the region increased by 33.0% to 4.2 billion euro in the year. This reflected volume growth of 8.4%, increased pricing of 7.4%, favorable transaction currency of 0.1%, and favorable translation currency of 12.5%, with a contribution from acquisitions of 4.6%.

Growth in North America remained strong across both retail and food service channels throughout the year. This was led by an excellent performance in Meat and Meat Alternatives across food preservation, culinary taste, texture systems, and clean-smoke technologies. Performance in the Beverage EUM continued to be strong, driven by innovations incorporating Kerry’s authentic natural taste, coffee extract, and Tastesense sugar reduction technologies. Bakery achieved good growth through increased demand for functional solutions and texture systems, while Snacks continued to deliver strong growth with category leaders. Growth in food service remained strong due to seasonal and promotional menu offerings, as well as new launches enhancing back-of-house efficiency for customers across both food and beverage applications.

LATAM delivered excellent growth across the year led by Mexico and Brazil. Volume growth in Mexico was strong across Beverages and Snacks, supported by wins in authentic taste, while volumes in Brazil were driven by performance in Meals and Meat.

Within the global Pharma EUM, volumes in excipients were lower in the year due to supply chain constraints.

During the year, the Group acquired the B2B powdered cheese business and related assets⁶ of The Kraft Heinz Company based in the US, enhancing Kerry’s scale, manufacturing capability, and customer base in the snacking category.

Europe Region

  • Volume growth of 6.2% with Q4 performance of 6.1%

  • Snacks, Dairy, and Meals delivered the strongest growth

  • Growth was led by food service while retail performed well

Revenue in the region increased by 25.1% to €1.5 billion in the year. This reflected volume growth of 6.2%, increased pricing of 13.9%, favorable transaction currency of 0.2%, and translation currency of 2.1%, with a contribution from acquisitions (net of disposals) of 2.7%.

Growth in the year was particularly strong given the economic backdrop in the region. The Snacks EUM delivered strong growth through savory taste launches and Kerry’s Tastesense® salt reduction technology portfolio, given increased customer focus on enhancing product nutritional profiles. Growth in Dairy was supported by innovations in ice cream and dairy alternative launches in the foodservice channel, while Meals continued to achieve good growth through taste systems and functional solutions. Performance in the food service channel was supported by continued innovation with quick service restaurants on new menu development and seasonal products.

Growth across the region was strongest in Central and Southern Europe, while the UK and Ireland had a very strong finish to the year. Performance in Eastern Europe was impacted by the ongoing war in the region. During the year, the Group divested its operations in Russia and Belarus, while further investing in its biotechnology capabilities with the acquisition of c-LEcta7, which is a leading biotechnology innovation company based in Leipzig, Germany.

APMEA Region

  • Volume growth of 8.1% with Q4 performance of 5.9%

  • Growth led by Snacks, Meat, and Bakery

  • Middle East and Southeast Asia achieved excellent growth

Revenue in the region increased by 26.8% to 1.7 billion euro in the year. This reflected volume growth of 8.1%, increased pricing of 7.1%, favorable transaction currency of 0.2%, and translation currency of 4.5%, with a contribution from acquisitions of 6.9%.

Growth in the region was primarily driven by very strong performances in the Middle East and Southeast Asia, partially offset by performance in China, which was impacted by localized COVID-19-related restrictions across the course of the year.

Overall growth was strong across all end-use markets and channels. Snacks achieved very strong growth driven by local authentic taste innovations with regional leaders. Growth in Meat was led by savory taste and smoke innovations, particularly in the food service channel, while growth in Bakery was supported by texture solutions and increased demand for preservation systems.

The Group continued to enhance its local presence in the region through the acquisition of Almer8 in Malaysia and its continued footprint expansion in the Middle East, which has become an important contributor to growth in the region.

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