Kerry Group plc has reported a solid set of half-year results for 2025, reflecting continued volume growth, strong EBITDA margin expansion, and a sustained focus on innovation and reformulation in its food ingredients business. The Group's revenue reached €3.5 billion, marking a 1.3% increase compared to the previous year, primarily driven by a notable 3.0% volume growth. This performance underscores Kerry's ongoing strength in serving sectors such as confectionery and snacks, where demand for savoury taste solutions, reduced-sugar and salt technologies like Tastesense™, and natural extracts remain prominent in product development.

The company’s underlying profitability showed marked improvement, with EBITDA rising by 7.5% to €556 million and margins expanding by 100 basis points to 16.1%. Adjusted earnings per share (EPS) rose by 9.8% on a constant currency basis to 209.2 cent, supported by free cash flow of €309 million, representing an impressive 89% cash conversion. CEO Edmond Scanlon attributed the margin gains to efficiencies driven by Kerry’s Accelerate Operational Excellence programme, alongside favourable product mix and portfolio effects.

Bakery and snacks emerged as key growth drivers within the portfolio, bolstered by innovation in both foodservice and retail channels. Kerry highlighted "continued innovation in the foodservice channel" and "product renovation in the retail channel," signalling sustained consumer demand for flavour-forward, better-for-you snacks and treats. The bakery segment, in particular, benefited from Kerry's taste and texture systems, natural extracts, and Tastesense™ technologies, which play an increasingly critical role in sugar-reduction reformulation efforts across the industry.

Foodservice volumes outpaced the broader market, growing by 4.6% with contributions from seasonal product launches and innovations in quick service restaurants—channels closely linked with Kerry’s confectionery portfolio. Regional performance was mixed but generally positive: the Americas led with €1.9 billion in revenue and 3.7% volume growth, buoyed by strong activity in snacks, bakery, savoury, and reduced-sugar innovations. Europe experienced marginal volume growth of 0.2%, hindered by softer retail market conditions but supported by advances in nutritional beverages and bakery texture systems. The Asia Pacific, Middle East, and Africa (APMEA) region achieved 4.2% volume growth, driven by bakery and beverage innovation, with Southeast Asia and LATAM markets delivering robust gains and a particular emphasis on authentic local taste profiles and cocoa reformulation.

The company maintained its full-year adjusted EPS guidance of 7–11% growth, expecting volume growth to remain stable in the second half of 2025 and anticipating an acceleration of margin expansion. Kerry’s confidence in its growth trajectory is reinforced by ongoing investments in innovation infrastructure, including a Biotechnology Innovation Centre in Leipzig focused on future food technologies, enzyme capacity expansion in Ireland, and expanded cocoa taste capabilities in France. These efforts align with Kerry’s strategic positioning as a leading innovation and renovation partner across the food industry.

Beyond financial metrics, Kerry has been actively showcasing its industry leadership through participation in high-profile events such as The Consumer Goods Forum 2025 Global Summit and the Future Foods Congress 2025. The company unveiled initiatives like the Kerry Bakery Shelf-Life Model and sustainability-focused technologies addressing challenges in pet nutrition, bakery freshness, and coffee extraction. Additionally, its Reformulation Hub supports manufacturers aiming to reduce sodium content without compromising sensory quality.

Kerry’s operational strength in 2025 builds on a consistent pattern of growth demonstrated in recent periods. For instance, its 2024 half-year and full-year results reported volume growth above 3% with expanding EBITDA margins and EPS increases near 9%, signalling sustained market outperformance. Q1 2025 interim guidance similarly showed a 6.3% revenue rise and robust volume growth of 3.1%, with bakery, snacks, and dairy as notable contributors and strong regional performances in APMEA and the Americas. Foodservice channels reported volume growth nearing 5%, supported by menu innovations and seasonal product introductions.

Overall, Kerry Group’s half-year 2025 results and corporate initiatives confirm its strategic emphasis on taste-led innovation, sustainability, and reformulation—key industry themes as consumer demand evolves towards healthier, more natural, and globally inspired food offerings. While macroeconomic uncertainty persists, the company’s balanced growth across geographies and channels, combined with proactive investment in technology and sustainability, position it well to navigate market challenges and maintain momentum through the remainder of the year.