Nomad Foods has downgraded its 2025 financial forecast, citing macroeconomic uncertainty, cost inflation and retailer destocking as the main drivers. The British frozen food giant, which owns the Findus, Iglo and Ledo brands, now expects organic revenue growth of 0% to 2%, compared to its previous guidance of 1% to 3%. Adjusted EBITDA has also been revised down, to 0% to 2% growth, compared to an initial guidance of 2% to 4%.
Adjusted earnings per share (EPS) is expected to be in the range of €1,82 to €1,89, indicating growth of 2% to 6%, slightly below the low end of its previous guidance. The company said ongoing investments in brands and products have further impacted its outlook.
In the first quarter, revenues amounted to €760 million, down 3% year-on-year, with an organic decline of 3,6% and a contraction in volumes of 3,7%. Adjusted EBITDA fell 1,8% to €120 million, while adjusted EPS fell 5,4% to €0,35.
However, gross margin improved 90 basis points to 27,8%, thanks to higher supply chain productivity and the unwinding of inventory write-downs incurred last year. “Quarterly results can be volatile, but the European frozen food market is healthy and our portfolio is well positioned,” said Noam Gottesman, co-chairman and founder.
CEO Stéfan Descheemaeker added that growth should accelerate in the coming quarters, although he did not expect a full recovery of the losses incurred between January and March. As for tariffs, the company said it was not currently directly affected, but expected further increases in the prices of some raw materials.
