Kerry Group: North America and Retail Return to Growth; New Share Buyback Program Announced

Kerry Group reported first-quarter results, with volumes up 1.9% and a negative pricing contribution (negative 5.3%) reflecting a deflationary environment. For the first quarter, volume growth for the group's largest segment, taste and nutrition, was up 3.1%, primarily driven by the food service channel (up strongly by 8.6%) with volumes in the retail channel returning to growth. Within this, emerging-market volumes were up 5.2%, while the Americas region rebounded nicely with volumes up 3.6%, driven by North America's return to growth. The dairy business continues to underperform, down 16.7%, with lower dairy market prices hitting pricing (down 13.7%).