Food and beverage

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Greencore Group

Lower for longer revenue and margin friction prompts further forecast revisions

Our forecast revisions reflect a flatter revenue curve and lower anticipated operating margin through FY21. The latter assumes friction from the on-boarding of network costs prior to...

ARYZTA

Q3 update – passed the nadir but significant uncertainties remain

ARYZTA has passed through the eye of the COVID-19 storm with revenue scars highlighting the unprecedented operating backdrop. With sales declining by nearly 50% in April, ARYZTA moved...

Tate & Lyle

Good underlying delivery as transitory headwinds mount

Tate & Lyle’s FY 2020 results confirm good execution across the platform, with volume growth and operating leverage improving for value-add activities. FY 2021 will be impacted by...

ARYZTA

EGM proposal received

The boardroom battle at ARYZTA is set against a challenging operational backdrop and associated share price weakness. Its timing will likely distract from an unprecedented operational...

Greencore Group

Adapting the operating model in a highly uncertain environment

While Greencore has adapted its operating model to the current lockdown situation, the demand picture remains highly uncertain. Social distancing measures and recessionary forces will...

Greencore Group

Forecast updates and equity musings

The key debate for Greencore’s equity is the extent to which the current pandemic influences its long-term growth model. In the near-term, social distancing measures and recessionary...

DSM

Nutrition guidance to reassure

DSM’s first-quarter performance points to a strong organic growth out-turn in its Animal Nutrition division as the rebuild of swine stocks boosts volumes. Despite exiting the quarter...

Kerry Group

Updating forecasts to capture transitory headwinds

The overarching takeaway from Kerry’s Q1 conference call was the scale and intensity of customer engagement, underlining a growing partnership ethos. The current crisis is placing a...

Symrise

Modest changes to forecasts; growth weighted to H2

Q2 is likely to bear the peak COVID-19 impact for Symrise as growth in higher-mix activities such as Fine Fragrance temporarily halts. Symrise’s Nutrition division continues to deliver...

ARYZTA

Further COVID-19 update: managing cash, costs and covenants

The key takeaways from ARYZTA’s May 4th update include the increase in liquidity since late March and the agreement with lenders to increase headroom under the banking covenants out...