Model update: adjusting for Dairy Ireland disposal

  • Sectors : Foods
  • Companies : Glanbia

Ratings and price correct at time of issue.

  • Glanbia

    Closing Price: 1292c

  • RATING 30/06/09



We have updated our Glanbia model. The key changes include a revenue-led upgrade for FY21, modelling the planned disposal of its 40% interest Dairy Ireland and a more cautious stance on Performance Nutrition (GPN) margin for FY22, with FY23 margin unchanged. For FY21, we revise our adjusted EPS to 87.4c (+2.5%). For FY22, will lower our EPS from 93.5c to 83.0c (-11.3%), driven by an underlying adjustment of -1.6% (c.1.5c) and Diary Ireland disposal -9.7% (c.9c). For FY23, we lower EPS by 6.3% to 91.3c. The balance sheet moves to net cash in FY23. On revised forecasts, Glanbia trades on an undemanding PE of 15.5x and 14.1x for FY22 and FY23 respectively.

Download full report with analyst certification and important disclosures

Nov 17 2021, 14:20 GMT