The group demonstrated revenue growth, earnings and cash conversion well ahead of original expectations, with adjusted earnings per share (“EPS”) of 87.15 cent (2020: 73.78 cent), up 22.1% constant currency (up 18.1% reported); and adjusted EPS for continuing operations of 77.84 cent (2020: 65.21 cent), up 23.9% constant currency (up 19.4% reported).
Group revenue of €4,196.9 million (2020: €3,823.1 million), is up 13.1% constant currency (up 9.8% reported) driven by a strong performance from Glanbia Performance Nutrition (“GPN”) and Glanbia Nutritionals, Nutritional Solutions (“GN NS”); while GPN revenues were up 17.1% constant currency (up 14.5% reported) reflecting strong consumption trends. Profit after tax is €167.4 million (2020: €143.8 million). For 2022, the Group expects to deliver adjusted EPS growth for continuing operations from 2% to 8%, constant currency. Reported growth result is expected to be 5% higher based on current foreign exchange rates.
Commenting on the results Siobhán Talbot, Group Managing Director, said: “I am pleased to announce that Glanbia delivered a strong performance in 2021 compared to the prior year as good revenue growth delivered an increase of 23.9% in adjusted EPS, constant currency, for continuing operations. This was well ahead of our expectations at the beginning of 2021 and was driven by strong global consumer demand in Glanbia’s areas of nutrition expertise across ingredient solutions and our portfolio of nutrition brands. Our robust and effective operational execution delivered an excellent cash performance with 100.2% cash conversion in the year.
We also made progress on a number of strategic initiatives: GPN has delivered in excess of its initial margin improvement target on the transformation programme and added the German based LevlUp brand to our portfolio; GN NS expanded our healthy snacking capability with the acquisition of PacMoore; and we successfully commissioned a large-scale joint venture cheese and whey plant in Michigan, US. Furthermore, we agreed the disposal of the plc’s interest in Glanbia Ireland DAC to Glanbia Co-operative Society Limited for €307 million, reinforcing our focus on the GPN and GN NS growth platforms. From our strong cash flow, we returned over €91.3 million last year to
shareholders via share buybacks as well as raising our dividend by 10%, and today we are announcing a new €50 million share buyback. As a purpose driven organisation, we progressed our environmental, social and governance (“ESG”) agenda and are implementing our diversity, equity and inclusion (“DE&I”) strategy.
Our clear strategic focus for 2022 and beyond is to drive growth across both GPN and GN NS as the nutrition partner of choice to our customers and consumers. During 2022, we anticipate the effects of Covid-19 will further abate, however the ongoing impact of cost inflation, especially dairy-related, will need to continue to be actively managed as it was in 2021. Based on today’s market environment and current expectations for the remainder of the year, we expect adjusted EPS growth for continuing operations of 2% to 8%, constant currency for FY 2022, with growth primarily driven by GN NS. Based on current foreign exchange rates, we expect the reported growth rate to be 5% higher than the constant currency result.”