Dairy group Glanbia reported a slight fall in first-half profit today and said that given a difficult trading environment it expected full year earnings to be broadly in line with 2004.
"The out-turn for last year would have been around 20.6 cents (earnings per share). We believe that's where we'll be," group managing director John Moloney told a conference call.
"The consensus market forecast would have been 3-4 percent ahead of that," he added. The company, which operates in Europe, the United States and Nigeria and is Europe's biggest supplier of pizza cheese, posted a pre tax profit before exceptional items of €30.6 million in the six months to the end of June compared with €31.5 million in the same period last year.
Earnings per share dipped to 9.01 cents from 9.03 previously, while turnover rose to €926 million from €880.4 million.
The company's operating margin declined by 60 basis points to 4.1 per cent due largely to competitive pressures in its Irish agri-business and chilled foods divisions.
Glanbia, which owns Yoplait yoghurt and Avonmore milk brands in Ireland, said in May the first half had been challenging but that it expected to meet market forecasts for the full year.
Mr Moloney said Glanbia was making solid strategic progress and was confident of its future prospects.