Greencore Purifies New Growth Strategy and Achievable Financial Objectives
On February 5, 2025, Greencore Group PLC held its Capital Markets Day Meeting in London. The UK-based convenience foods manufacturer’s Chief Executive, Dalton Philips, along with the leadership team refined and presented their strategic direction which included product innovation, automation, operational excellence, and investment in infrastructure.
The company presented their competitive edge in the growing part of the market which was the convenience food sector, along with their strong strategic partnerships with customers. They also made an emphasis on their strong innovation credentials and large-scale operations in well-invested sites and how much more they are looking to achieve through their commercial and operational excellence programs.
New mid-term financial goals were set with an expected return on capital invested of over 15%, revenue increase of 3-5%, adjusted operating profit margin of over 7%, cash conversion rate exceeding 55%, and a net debt to EBITDA ratio of 1-1.5x pre-IFRS. Dalton Philips was confident Greencore would achieve these targets and expressed how these would be beneficial to shareholders, colleagues, customers, and partners alike. In his words, “Greencore is a great business with a strong foundation… There is a real opportunity to drive significant, incremental value in the coming years.”
The company also acknowledged a strong balance sheet and cash generation ability that would support expansion through mergers and acquisitions into new areas. Materials, as well as a presentation recording, are available on Greencore’s Investor Relations website for those who could not attend.
