LONDON - Nomad Foods Limited (NYSE:NOMD) reported higher third-quarter profit on Thursday, but lowered its full-year guidance due to disruptions from a new enterprise resource planning (ERP) system implementation.
The stock slipped 0.74% in premarket trading following the mixed results.
The frozen food company posted adjusted earnings per share of €0.55 for the quarter, up 28% year-over-year and beating analyst estimates of €0.51. Revenue rose 0.8% to €770 million, falling short of the €781.19 million consensus forecast.
Organic revenue growth was 0.3%, with volume up 0.7% despite an approximate 2.5% headwind from ERP-related issues. The company said its market share returned to volume and value growth in the quarter.
However, Nomad Foods cut its full-year 2024 outlook, now expecting organic revenue growth of 1-2%, down from 3-4% previously. It sees adjusted EPS of €1.72-€1.77, below the €1.85 analyst consensus.
"The results this quarter are impressive given greater than anticipated headwinds related to ERP implementation that we have faced," said CEO Stéfan Descheemaeker. He noted service levels were negatively impacted during the transition but are returning to near normal.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.