Glanbia Plc, the producer of a third of Ireland's milk and cheese, said yesterday that first-half profit climbed 22 percent, led by growth at its ingredients and nutrition unit.
Net income increased to 41 million euros (US$60.39 million), or 13.92 cents a share, from 33.6 million euros, or 11.46 cents, a year earlier, Kilkenny, Ireland-based Glanbia said yesterday in a statement. Sales rose 6.3 percent to 1.11 billion euros.
Glanbia, which makes yogurts under the Yoplait brand, has built up a food-ingredients and nutrition unit that generates more than half of sales, and cut reliance on milk and cheese. It last year bought Seltzer Cos, whose ingredients are used in nutritional-food supplements, and this week purchased sports-supplement maker Optimum Nutrition for US$315 million.
Glanbia has joint ventures with companies including PZ Cussons Plc.
"Ingredients, as expected, was the biggest driver of earnings growth," analyst Liam Igoe at Goodbody Stockbrokers in Dublin said in a note. "Headline results were better than we had forecast." Igoe has an "add" rating.
Glanbia was unchanged yesterday in Dublin trading, giving the company a market value of 1.3 billion euros.
The company expects to meet analysts' estimates for earnings growth of 14 percent to 15 percent this year, Bloomberg News reported.
