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Nomad Foods Ltd - $NOMD - Earnings Analysis: Consistent sales and Adjusted EBITDA growth.

By sagebytes in Lifestyle —

Business Model

Nomad Foods is Europe's leading frozen food company. Its revenue is generated through sales of its portfolio of iconic brands, including Birds Eye, Findus, iglo, Ledo and Frikom.

Revenue Sources

  • Frozen food products sold under various brand names

Income Statement Analysis

  • Revenue increased 4.3% year-over-year.
  • Gross profit increased 9% year-over-year.
  • Operating profit increased significantly year-over-year.
  • Basic earnings per share increased from €0.15 to €0.32.

Balance Sheet Analysis

  • Total assets slightly increased from 2023 to 2024.
  • Total equity increased from 2023 to 2024.
  • Total liabilities decreased from 2023 to 2024. (Calculated by subtracting Total Equity from Total Assets)

Cash Flow Analysis

  • Net cash flows from operating activities slightly increased.
  • Cash used in investing activities decreased.
  • Net cash used in financing activities increased.
  • Net Increase in cash and cash equivalents decreased

Capital Allocation

The company returned €208 million to shareholders in 2024 in the form of dividends and share repurchase activity. The Board of Directors approved a 13% increase to the company's 1Q25 cash dividend.

Management Commentary

Our 2024 results demonstrate the impact of our focused brand investments and operational excellence, marking our ninth consecutive year of sales and Adjusted EBITDA growth.

As we enter our tenth year as a public company, I have never been more optimistic about the growth potential of Nomad Foods.

Overall Sentiment: Positive, expressing confidence in the company's growth potential and continued success.

Disclaimer: This report is for informational purposes only and not investment advice. The analysis is based on limited information and subject to change. Investing in securities involves risks, including potential loss of principal. Past performance doesn't guarantee future results. Always conduct your own research, understand the risks, and consult a financial professional before making investment decisions.