DAVY VIEW

Kerry’s 2022-2026 strategy builds on the foundation of its previous plan with an upweighting of growth ambitions. We model Taste & Nutrition (T&N) average annual EBITDA growth of c.8-9% (group c.7%), with margins reaching 19.4% by 2025 (2021F: 17.4%). The evolution of the customer challenge requires a more integrated and differentiated approach from supply-side participants and will advantage scalable partnership-led models. Kerry enters FY22 with a more focused operating model allied with a highly attractive market position. We expect growth delivery to drive share price performance, with current levels representing an excellent buying opportunity. Our forecast model assumes a normalised operating environment.