Greencore Group PLC Notification of Reporting Changes (7098E)

TIDMGNC

RNS Number : 7098E

Greencore Group PLC

10 May 2017

GREENCORE GROUP PLC

NOTIFICATION OF REPORTING CHANGES

10 May 2017

Greencore Group plc ("Greencore" or the "Group"), a leading manufacturer of convenience food in the UK and US, announces a change to its reporting structure as well as the restatement of its historic earnings per share and dividend per share.

Change in reporting structure of Operating Segments

Following the acquisition of Peacock Foods in the US, which completed on 30 December 2016, Greencore has simplified its reporting structure. The Group will now have two separate reporting segments:

1. Convenience Foods UK & Ireland: incorporating Food to Go (i.e. sandwiches, sushi and salads), and other UK & Ireland businesses including Prepared Meals (i.e. ready meals, quiche, soups and sauces), the Grocery set of businesses (i.e. cooking sauces, Yorkshire Puddings, cakes and desserts) and the edible oils and molasses trading businesses (formerly known as the Ingredients & Property Division)

2. Convenience Foods US: incorporating Greencore's existing US business and the acquired Peacock Foods business (i.e. a wide range of fresh, frozen and ambient convenience food products - including sandwiches, meal kits and salads kits - and a customer base including CPG companies as well as convenience retail and food service leaders)

The following table sets out the revenue and Group operating profit (before exceptional items and amortisation of acquisition related intangible assets) for both the half year ended 25 March 2016 and the full year ended 30 September 2016 as reported and as restated under the revised reporting segments:

 
                                As Reported        Restated 
                             ----------------  ---------------- 
                                 Full    Half      Full    Half 
                                 Year    Year      Year    Year 
                                 2016    2016      2016    2016 
                                 GBPm    GBPm      GBPm    GBPm 
 Revenue 
 Convenience Foods            1,435.2   667.9 
 Ingredients & Property          46.7    23.7 
 
 Convenience Foods UK 
  & Ireland                                     1,258.8   590.4 
 Convenience Foods US                             223.1   101.2 
                             --------  ------  --------  ------ 
 Total                        1,481.9   691.6   1,481.9   691.6 
                             --------  ------  --------  ------ 
 
 Group Operating Profit 
  before exceptional items 
  and amortisation of 
  acquisition related 
  intangible assets 
 Convenience Foods              100.0    42.9 
 Ingredients & Property           2.0     0.6 
 
 Convenience Foods UK 
  & Ireland                                       104.1    46.7 
 Convenience Foods US                             (2.1)   (3.2) 
                             --------  ------  --------  ------ 
 Total                          102.0    43.5     102.0    43.5 
                             --------  ------  --------  ------ 
 

Earnings per Share Restatement

The Group completed a rights issue during December 2016, the purpose of which was to fund the acquisition of Peacock Foods, which completed on 30 December 2016. Following the completion of a rights issue, the Group is required to restate historic earnings per share to reflect the bonus element of the rights issue. The weighted average number of shares for both the half year ended 25 March 2016 and the full year ended 30 September 2016 have been restated below to incorporate the bonus share element of the rights issue. In addition, Basic Earnings per Share, Adjusted Basic Earnings per Share, Diluted Earnings per Share and Adjusted Diluted Earnings per Share have been restated to reflect the revised weighted average number of shares in issue.

Revised Basic Earnings per share, Adjusted Basic Earnings per Share, Diluted Earnings per Share and Adjusted Diluted Earnings per Share figures:

 
                                             As Reported      Restated 
                                           --------------  -------------- 
                                             Full    Half    Full    Half 
                                             Year    Year    Year    Year 
                                             2016    2016    2016    2016 
 Earnings per Ordinary 
  Share (pence) 
 Basic earnings 
 per Ordinary Share                          11.6     4.9     9.5     4.0 
 Adjusted earnings 
 per Ordinary Share                          19.5     8.2    16.0     6.7 
 Diluted earnings per 
  Ordinary Share                             11.4     4.8     9.4     4.0 
 Adjusted diluted earnings 
  per Ordinary Share                         19.2     8.1    15.8     6.6 
 
 

Denominator for the Basic Earnings per share, Adjusted Basic Earnings per Share, Diluted Earnings per Share and Adjusted Diluted Earnings per Share calculation:

 
                                                          As Reported            Restated 
                                                    ----------------------  ------------------ 
                                                            Full      Half      Full      Half 
                                                            Year      Year      Year      Year 
                                                            2016      2016      2016      2016 
 
 Weighted average number of ordinary 
 shares in issue during the period 
 - for basic and adjusted EPS                            409,256   408,202   497,878   496,596 
 
 
 Weighted average number of ordinary 
 shares in issue during the period 
 - for diluted basic and adjusted 
 diluted basic EPS                                       414,584   413,656   504,360   503,231 
 
 

Dividend per Share Restatement

The Group completed a rights issue during December 2016, the purpose of which was to fund the acquisition of Peacock Foods, which completed on 30 December 2016. For comparative purpose, the Group is restating historic dividend per share, to reflect the bonus element of the rights issue, for the Interim, Final and Total dividend for the year ended 30 September 2016.

Revised Dividend per Share figures:

 
 Dividend per Ordinary 
  Share (pence) 
                                         As reported   Restated 
                                    ----------------  --------- 
 Interim dividend for the 
  year ended 30 September 
  2016                                          2.55       2.10 
 Final dividend for the 
  year ended 30 September 
  2016                                          4.10       3.37 
 Total dividend for the 
  year ended 30 September 
  2016                                          6.65       5.47 
 
 

For further information, please contact:

 
 Patrick Coveney        Chief Executive   Tel: +353 (0) 
                         Officer           1 605 1045 
 Eoin Tonge             Chief Financial   Tel: +353 (0) 
                         Officer           1 605 1029 
 Rob Greening or Nick   Powerscourt       Tel: +44 (0) 
  Brown                                    20 7250 1446 
 

About Greencore

Greencore is a leading international producer of convenience foods with extensive operations in the UK and the US. Headquartered in Dublin, it employs 16,000 people in 30 manufacturing facilities across the UK and the US. On average, it manufactures around 1.5 billion sandwiches and 140 million ready meals every year.

In the UK, it has strong market positions across sandwiches and other food to go products as well as complementary positions in other convenience food categories, including chilled prepared meals, chilled soups and sauces, ambient sauces & pickles, cakes & desserts and Yorkshire Puddings. It is a supplier of own-label products to all of the major UK supermarkets, and has world-class manufacturing sites with industry-leading technology and supply chain capabilities.

Following its acquisition of Peacock Foods in in 2016, Greencore is now a leading manufacturer of consumer packaged goods for many of the largest food brands in the US. Greencore also produces chilled and frozen food to go products for convenience retail and food service leaders in the US.

For more information go to www.greencore.com or follow Greencore on social media.

This information is provided by RNS

The company news service from the London Stock Exchange

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May 10, 2017 03:33 ET (07:33 GMT)