The chart below shows how NOMD performed 10 days before and after its earnings report, based on data from the past quarters. Typically, NOMD sees a -4.71% change in stock price 10 days leading up to the earnings, and a +0.69% change 10 days following the report. On the earnings day itself, the stock moves by +2.85%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Earnings Per Share Beat: Nomad Foods reported an EPS of $0.42, exceeding expectations of $0.39, indicating strong financial performance.
Consistent Growth Achievement: The company achieved nine consecutive years of sales and adjusted EBITDA growth, showcasing consistent long-term growth.
Organic Sales Resilience: Organic sales growth has been a strong contributor, with a nearly 3% CAGR since 2016, demonstrating resilience and stability in sales.
Healthy Product Portfolio: Nomad Foods has a robust portfolio of iconic brands, with two-thirds of its products being vegetables, fish, and poultry, aligning with health trends.
Health and Nutrition Excellence: The company received a maximum score of 100 in Health and Nutrition for the sixth consecutive year, reflecting its commitment to quality and sustainability.
Volume Growth Trend: Nomad Foods has seen three consecutive quarters of volume growth, indicating a positive trend in sales performance.
Market Share and Margin Growth: The company achieved market share growth in the last two quarters while expanding gross margins, highlighting effective cost management and pricing strategies.
Organic Sales Growth: In 2024, organic sales for growth platforms grew by 16%, indicating successful market expansion strategies.
Poultry Sales Surge: Retail sales for prepared poultry in Italy rose 98% year-on-year, showcasing successful market penetration and brand strength.
Market Leadership in Belgium: Nomad Foods became the category leader in Belgium for potatoes, climbing from number two to number one in value share, demonstrating effective market strategies.
Projected Sales and EBITDA Growth: The company expects to continue its growth trajectory with a projected organic sales growth of 1% to 3% and adjusted EBITDA growth of 2% to 4% for 2025.
Shareholder Return Increase: Nomad Foods returned EUR208 million to shareholders in 2024, a 20% increase from the previous year, reflecting strong cash flow management and shareholder value creation.
Negative
Earnings Beat, Price Impact: Despite beating earnings expectations, the company reported a negative price/mix impact of 1.6%, which offset volume growth.
Organic Sales Decline: The company experienced a decline in organic sales growth to 1% for the full year, indicating a slowdown compared to previous years.
SG&A Expense Growth: SG&A expenses grew by 7.4% for the full year, driven by increased A&P and indirect investments, which could pressure margins going forward.
Sales Decline Anticipation: The company anticipates organic sales to modestly decline in the first quarter of 2025 due to timing dynamics, which may indicate potential challenges in maintaining growth momentum.
Adjusted EBITDA Growth Outlook: While the company expects adjusted EBITDA growth of 2% to 4% for 2025, this is a slowdown compared to previous years' growth rates, suggesting a potential deceleration in overall performance.
Nomad Foods Limited (NYSE:NOMD) Q4 2024 Earnings Call Transcript
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