Glanbia (LON:GLB) reported higher first-half revenue, earnings and profitability as demand remained strong across its Performance Nutrition, Health & Nutrition and Dairy Nutrition businesses, prompting the company to raise its full-year adjusted earnings-per-share outlook.
Chief Executive Officer Hugh McGuire said adjusted earnings per share reached EUR 0.8124 in the first half, representing 30% constant-currency growth from the prior year. Revenue totaled EUR 2.1 billion, up 7% on a constant-currency basis, while pre-exceptional EBITDA increased 14.1% to EUR 275.4 million. Group EBITDA margin rose 80 basis points to 13.2%.
Performance Nutrition growth led by Optimum Nutrition
Performance Nutrition delivered like-for-like revenue growth of 16.9%, comprising a 9.3% increase in volume and a 7.6% increase in price. McGuire said the performance reflected category growth, product innovation, broader distribution and some shipment timing in the second quarter, alongside a weaker comparative period a year earlier.
Optimum Nutrition, which accounted for 79% of Performance Nutrition revenue, posted 25.2% like-for-like revenue growth. Its U.S. consumption grew 23.5% in the 13 weeks through July 4, according to McGuire, supported by double-digit growth in food, drug, mass and convenience channels and online sales.
Performance Nutrition’s Americas business, representing 58% of segment revenue, grew like-for-like sales by 9.2%. International revenue, which made up 42% of segment sales, rose 29.6%, with particular strength in the U.K., Oceania, China and India.
The company implemented double-digit global price increases during the second quarter and plans further increases in the third quarter as whey protein costs remain elevated. McGuire said Glanbia had observed early, limited signs of elasticity in certain markets, channels and pack sizes, though consumption remained strong. The company expects some volume elasticity in the second half as consumers adjust to cumulative price increases.
Performance Nutrition EBITDA rose 7.4%, while the segment’s 12.6% EBITDA margin was broadly unchanged from a year earlier. The company said pricing, marketing-spend effectiveness and transformation savings partly offset elevated whey costs. It expects the segment’s margin to improve in the second half as price increases take fuller effect and to show progression for the full year compared with the 13% margin reported in 2025.
Glanbia said it has procured its expected whey requirements for 2026 and through early in the second quarter of 2027. Based on procurement to date, it expects 2027 whey costs to be higher than in 2026 and anticipates additional pricing action in late 2026 or early 2027.
Health & Nutrition and Dairy Nutrition expand
Health & Nutrition recorded 12% like-for-like revenue growth, with volume up 14.3% and pricing down 2.3%. Total revenue increased 15.6%, including contributions from the Sweetmix and Scicore acquisitions completed in August 2025 and January 2026, respectively.
The company said growth was supported by demand in active nutrition, functional beverages and vitamin and mineral supplements, as well as customer-led innovation. Second-quarter revenue also benefited from some customer pipeline fill as customers expanded into new regions. Pricing was affected by one-time tariff refunds to customers and is expected to be broadly neutral in the second half.
Health & Nutrition EBITDA increased 9.5% to EUR 67.9 million, although EBITDA margin declined 110 basis points to 18.4% due to higher raw-material costs. Chief Financial Officer Mark Garvey said increased costs were primarily linked to supply-chain disruption stemming from the Middle East conflict and petrochemical feedstocks used in Asian manufacturing. The company continues to forecast a 17% to 19% EBITDA margin for the segment for the year.
Dairy Nutrition posted 3.8% like-for-like revenue growth, with volumes up 4.6% and pricing down 0.8%. Protein Solutions achieved double-digit volume and pricing growth, driven by demand from active nutrition, high-protein ready-to-eat foods and healthy-snacking customers. However, weaker cheese markets weighed on overall segment pricing, as cheese represents about two-thirds of Dairy Nutrition revenue.
Dairy Nutrition EBITDA increased 28.2% to EUR 92.3 million. Glanbia now expects the segment to generate full-year EBITDA of EUR 170 million to EUR 180 million and expects joint-venture profit after tax of about EUR 20 million.
Transformation savings and capital returns
Glanbia raised its annual savings target from its groupwide transformation program to EUR 70 million by 2027, from EUR 60 million previously. The company expects about 40% of the savings to be delivered by the end of 2026 and said at least half of the savings will be reinvested to support future growth.
The expanded savings target reflects supply-chain initiatives, including blending-capacity optimization and procurement effectiveness, as well as digital transformation. Total program charges are now expected to be about EUR 110 million, with approximately EUR 85 million incurred to date.
Operating cash-flow conversion was 95.1% for the 12 months ended July 4, with EUR 507 million of operating cash flow generated during that period. Net debt stood at approximately EUR 731 million, equivalent to 1.4 times adjusted EBITDA. Garvey said the company expects year-end net debt to EBITDA to be about one time, subject to merger and acquisition activity.
The board approved a 10% increase in the interim dividend to EUR 0.1892 per share. Glanbia also completed a EUR 100 million share buyback program, repurchasing and cancelling approximately 4.9 million shares at an average price of EUR 20.49.
Full-year outlook upgraded
Following the first-half performance, Glanbia raised its 2026 adjusted EPS growth guidance to 17% to 20% on a constant-currency basis.
- Performance Nutrition like-for-like revenue growth is expected at 12% to 14%.
- Health & Nutrition like-for-like revenue growth is expected at 8% to 10%, led by volume.
- Health & Nutrition EBITDA margin is expected at 17% to 19%.
- Dairy Nutrition EBITDA is expected at EUR 170 million to EUR 180 million.
- Capital expenditure is expected to total EUR 100 million to EUR 110 million for the year.
McGuire said the company remains focused on expanding its Performance Nutrition and Health & Nutrition growth engines, while management said it was actively evaluating acquisition opportunities, primarily in Health & Nutrition.
About Glanbia (LON:GLB)
We are a better nutrition company, home to consumer brands and ingredients that help people around the world feel strong, nourished, and to perform well at any age. Everything we do has real nutritional benefit. Everything we do is in pursuit of better, for each other and the planet.
