NOMAD FOODS LIMITED | ||||||||
By: | /s/ Samy Zekhout | |||||||
Name: | Samy Zekhout | |||||||
Title: | Chief Financial Officer |
Exhibit Number | Exhibit Title | |||||||
Press Release issued by Nomad Foods Limited on August 6, 2020 relating to the Company’s financial results for the three and six month periods ended June 30, 2020. | ||||||||
Condensed Consolidated Interim Financial Statements (unaudited) for the three and six months ended June 30, 2020. | ||||||||
Press Release issued by Nomad Foods Limited on August 6, 2020 announcing the Company’s intention to commence a tender offer. |
Three months ended June 30, 2020 | Three months ended June 30, 2019 | ||||||||||
€m | €m | ||||||||||
Revenue | 599.0 | 537.8 | |||||||||
Cost of sales | (417.7) | (377.5) | |||||||||
Gross profit | 181.3 | 160.3 | |||||||||
Other operating expenses | (81.6) | (84.6) | |||||||||
Exceptional items | (4.2) | (1.6) | |||||||||
Operating profit | 95.5 | 74.1 | |||||||||
Finance income | 0.2 | 1.1 | |||||||||
Finance costs | (16.7) | (16.4) | |||||||||
Net financing costs | (16.5) | (15.3) | |||||||||
Profit before tax | 79.0 | 58.8 | |||||||||
Taxation | (16.4) | (12.6) | |||||||||
Profit for the period | 62.6 | 46.2 | |||||||||
Attributable to: | |||||||||||
Equity owners of the parent | 62.6 | 46.4 | |||||||||
Non-controlling interests | — | (0.2) | |||||||||
62.6 | 46.2 | ||||||||||
Basic & diluted earnings per share in € | 0.32 | 0.24 |
Six months ended June 30, 2020 | Six months ended June 30, 2019 | ||||||||||
€m | €m | ||||||||||
Revenue | 1,281.9 | 1,155.6 | |||||||||
Cost of sales | (901.7) | (804.6) | |||||||||
Gross profit | 380.2 | 351.0 | |||||||||
Other operating expenses | (183.1) | (174.0) | |||||||||
Exceptional items | (24.8) | (48.2) | |||||||||
Operating profit | 172.3 | 128.8 | |||||||||
Finance income | 5.2 | 2.7 | |||||||||
Finance costs | (33.7) | (32.8) | |||||||||
Net financing costs | (28.5) | (30.1) | |||||||||
Profit before tax | 143.8 | 98.7 | |||||||||
Taxation | (33.8) | (30.2) | |||||||||
Profit for the period | 110.0 | 68.5 | |||||||||
Attributable to: | |||||||||||
Equity owners of the parent | 110.1 | 68.8 | |||||||||
Non-controlling interests | (0.1) | (0.3) | |||||||||
110.0 | 68.5 | ||||||||||
Basic and diluted earnings per share in € | 0.55 | 0.37 |
As at June 30, 2020 | As at December 31, 2019 | ||||||||||
€m | €m | ||||||||||
Non-current assets | |||||||||||
Goodwill | 1,861.9 | 1,862.9 | |||||||||
Intangibles | 2,086.1 | 2,083.1 | |||||||||
Property, plant and equipment | 415.0 | 422.4 | |||||||||
Other non-current assets | 1.4 | 1.9 | |||||||||
Derivative financial instruments | 32.6 | 17.5 | |||||||||
Deferred tax assets | 103.2 | 96.4 | |||||||||
Total non-current assets | 4,500.2 | 4,484.2 | |||||||||
Current assets | |||||||||||
Cash and cash equivalents | 935.3 | 826.1 | |||||||||
Inventories | 295.0 | 323.2 | |||||||||
Trade and other receivables | 199.7 | 206.7 | |||||||||
Indemnification assets | 17.6 | 35.4 | |||||||||
Short-term investments | 25.1 | 25.0 | |||||||||
Derivative financial instruments | 13.4 | 3.9 | |||||||||
Total current assets | 1,486.1 | 1,420.3 | |||||||||
Total assets | 5,986.3 | 5,904.5 | |||||||||
Current liabilities | |||||||||||
Trade and other payables | 569.5 | 525.2 | |||||||||
Current tax payable | 244.2 | 217.2 | |||||||||
Provisions | 44.0 | 40.9 | |||||||||
Loans and borrowings | 23.5 | 27.7 | |||||||||
Derivative financial instruments | 3.9 | 12.1 | |||||||||
Total current liabilities | 885.1 | 823.1 | |||||||||
Non-current liabilities | |||||||||||
Loans and borrowings | 1,840.9 | 1,847.6 | |||||||||
Employee benefits | 247.1 | 237.5 | |||||||||
Other non-current liabilities | 2.2 | 2.7 | |||||||||
Provisions | 6.1 | 5.9 | |||||||||
Derivative financial instruments | 32.3 | 32.8 | |||||||||
Deferred tax liabilities | 399.5 | 398.2 | |||||||||
Total non-current liabilities | 2,528.1 | 2,524.7 | |||||||||
Total liabilities | 3,413.2 | 3,347.8 | |||||||||
Net assets | 2,573.1 | 2,556.7 | |||||||||
Equity attributable to equity holders | |||||||||||
Share capital and capital reserve | 2,145.5 | 2,095.4 | |||||||||
Share-based compensation reserve | 4.6 | 22.6 | |||||||||
Founder Preferred Share Dividend reserve | 245.5 | 370.1 | |||||||||
Translation reserve | 85.9 | 94.8 | |||||||||
Cash flow hedging reserve | 1.4 | (13.2) | |||||||||
Retained earnings/(accumulated deficit reserve) | 90.2 | (11.8) | |||||||||
Equity attributable to owners of the parent | 2,573.1 | 2,557.9 | |||||||||
Non-controlling interests | — | (1.2) | |||||||||
Total equity | 2,573.1 | 2,556.7 |
For the six months ended June 30, 2020 | For the six months ended June 30, 2019 | ||||||||||
€m | €m | ||||||||||
Cash flows from operating activities | |||||||||||
Profit for the period | 110.0 | 68.5 | |||||||||
Adjustments for: | |||||||||||
Exceptional items | 24.8 | 48.2 | |||||||||
Share based payment expense | 4.4 | 7.3 | |||||||||
Depreciation and amortization | 34.7 | 33.3 | |||||||||
Net finance costs | 28.5 | 30.1 | |||||||||
Taxation | 33.8 | 30.2 | |||||||||
Operating cash flow before changes in working capital, provisions and exceptional items | 236.2 | 217.6 | |||||||||
Decrease/(increase) in inventories | 20.7 | (2.1) | |||||||||
Decrease/(increase) in trade and other receivables | 14.8 | (21.5) | |||||||||
Increase/(decrease) in trade and other payables | 59.5 | (46.3) | |||||||||
Increase in employee benefits and other provisions | 1.0 | 1.4 | |||||||||
Cash generated from operations before tax and exceptional items | 332.2 | 149.1 | |||||||||
Cash flows relating to exceptional items | (2.3) | (6.5) | |||||||||
Tax paid | (28.9) | (16.7) | |||||||||
Net cash generated from operating activities | 301.0 | 125.9 | |||||||||
Cash flows from investing activities | |||||||||||
Purchase of subsidiaries, net of cash acquired | (1.0) | (1.5) | |||||||||
Purchase of property, plant and equipment and intangibles | (23.6) | (17.5) | |||||||||
Cash used in investing activities | (24.6) | (19.0) | |||||||||
Cash flows from financing activities | |||||||||||
Proceeds from issuance of ordinary shares | 0.6 | 353.6 | |||||||||
Share issuance costs | — | (11.1) | |||||||||
Repurchase of ordinary shares | (83.4) | — | |||||||||
Payments related to shares withheld for tax | (18.2) | (0.9) | |||||||||
Issuance of new loan principal | — | 1.2 | |||||||||
Repayment of loan principal | (11.7) | (21.9) | |||||||||
Payment of lease liabilities | (11.2) | (11.8) | |||||||||
Interest paid | (25.1) | (24.4) | |||||||||
Interest received | 0.3 | 1.8 | |||||||||
Other financing cash flows | (3.4) | 0.3 | |||||||||
Net cash (used in)/provided by financing activities | (152.1) | 286.8 | |||||||||
Net increase in cash and cash equivalents | 124.3 | 393.7 | |||||||||
Cash and cash equivalents at beginning of period | 824.8 | 327.6 | |||||||||
Effect of exchange rate fluctuations | (13.8) | (1.5) | |||||||||
Cash and cash equivalents at end of period | 935.3 | 719.8 |
€ in millions, except per share data | As reported for the three months ended June 30, 2020 | Adjustments | As adjusted for the three months ended June 30, 2020 | ||||||||||||||||||||
Revenue | 599.0 | — | 599.0 | ||||||||||||||||||||
Cost of sales | (417.7) | — | (417.7) | ||||||||||||||||||||
Gross profit | 181.3 | — | 181.3 | ||||||||||||||||||||
Other operating expenses | (81.6) | 2.2 | (a) | (79.4) | |||||||||||||||||||
Exceptional items | (4.2) | 4.2 | (b) | — | |||||||||||||||||||
Operating profit | 95.5 | 6.4 | 101.9 | ||||||||||||||||||||
Finance income | 0.2 | — | 0.2 | ||||||||||||||||||||
Finance costs | (16.7) | 0.1 | (16.6) | ||||||||||||||||||||
Net financing costs | (16.5) | 0.1 | (c) | (16.4) | |||||||||||||||||||
Profit before tax | 79.0 | 6.5 | 85.5 | ||||||||||||||||||||
Taxation | (16.4) | (1.4) | (d) | (17.8) | |||||||||||||||||||
Profit for the period | 62.6 | 5.1 | 67.7 | ||||||||||||||||||||
Profit attributable to: | |||||||||||||||||||||||
Equity owners of the parent | 62.6 | 5.1 | 67.7 | ||||||||||||||||||||
Non-controlling interests | — | — | — | ||||||||||||||||||||
62.6 | 5.1 | 67.7 | |||||||||||||||||||||
Weighted average shares outstanding in millions - basic | 198.4 | 198.4 | |||||||||||||||||||||
Basic earnings per share | 0.32 | 0.34 | |||||||||||||||||||||
Weighted average shares outstanding in millions - diluted | 198.4 | 198.4 | |||||||||||||||||||||
Diluted earnings per share | 0.32 | 0.34 |
€ in millions, except per share data | As reported for the three months ended June 30, 2019 | Adjustments | As adjusted for the three months ended June 30, 2019 | ||||||||||||||||||||
Revenue | 537.8 | — | 537.8 | ||||||||||||||||||||
Cost of sales | (377.5) | — | (377.5) | ||||||||||||||||||||
Gross profit | 160.3 | — | 160.3 | ||||||||||||||||||||
Other operating expenses | (84.6) | 5.8 | (a) | (78.8) | |||||||||||||||||||
Exceptional items | (1.6) | 1.6 | (b) | — | |||||||||||||||||||
Operating profit | 74.1 | 7.4 | 81.5 | ||||||||||||||||||||
Finance income | 1.1 | (0.1) | 1.0 | ||||||||||||||||||||
Finance costs | (16.4) | (0.3) | (16.7) | ||||||||||||||||||||
Net financing costs | (15.3) | (0.4) | (c) | (15.7) | |||||||||||||||||||
Profit before tax | 58.8 | 7.0 | 65.8 | ||||||||||||||||||||
Taxation | (12.6) | (0.9) | (d) | (13.5) | |||||||||||||||||||
Profit for the period | 46.2 | 6.1 | 52.3 | ||||||||||||||||||||
Profit attributable to: | |||||||||||||||||||||||
Equity owners of the parent | 46.4 | 6.1 | 52.5 | ||||||||||||||||||||
Non-controlling interests | (0.2) | — | (0.2) | ||||||||||||||||||||
46.2 | 6.1 | 52.3 | |||||||||||||||||||||
Weighted average shares outstanding in millions - basic | 196.4 | 196.4 | |||||||||||||||||||||
Basic earnings per share | 0.24 | 0.27 | |||||||||||||||||||||
Weighted average shares outstanding in millions - diluted | 196.4 | 196.4 | |||||||||||||||||||||
Diluted earnings per share | 0.24 | 0.27 |
€ in millions, except per share data | As reported for the six months ended June 30, 2020 | Adjustments | As adjusted for the six months ended June 30, 2020 | ||||||||||||||||||||
Revenue | 1,281.9 | — | 1,281.9 | ||||||||||||||||||||
Cost of sales | (901.7) | — | (901.7) | ||||||||||||||||||||
Gross profit | 380.2 | — | 380.2 | ||||||||||||||||||||
Other operating expenses | (183.1) | 6.9 | (a) | (176.2) | |||||||||||||||||||
Exceptional items | (24.8) | 24.8 | (b) | — | |||||||||||||||||||
Operating profit | 172.3 | 31.7 | 204.0 | ||||||||||||||||||||
Finance income | 5.2 | (4.7) | 0.5 | ||||||||||||||||||||
Finance costs | (33.7) | 0.3 | (33.4) | ||||||||||||||||||||
Net financing costs | (28.5) | (4.4) | (c) | (32.9) | |||||||||||||||||||
Profit before tax | 143.8 | 27.3 | 171.1 | ||||||||||||||||||||
Taxation | (33.8) | (2.0) | (d) | (35.8) | |||||||||||||||||||
Profit for the period | 110.0 | 25.3 | 135.3 | ||||||||||||||||||||
Profit attributable to: | |||||||||||||||||||||||
Equity owners of the parent | 110.1 | 25.3 | 135.4 | ||||||||||||||||||||
Non-controlling interests | (0.1) | — | (0.1) | ||||||||||||||||||||
110.0 | 25.3 | 135.3 | |||||||||||||||||||||
Weighted average shares outstanding in millions - basic | 200.7 | 200.7 | |||||||||||||||||||||
Basic earnings per share | 0.55 | 0.67 | |||||||||||||||||||||
Weighted average shares outstanding in millions - diluted | 200.7 | 200.7 | |||||||||||||||||||||
Diluted earnings per share | 0.55 | 0.67 |
€ in millions, except per share data | As reported for the six months ended June 30, 2019 | Adjustments | As adjusted for the six months ended June 30, 2019 | ||||||||||||||||||||
Revenue | 1,155.6 | — | 1,155.6 | ||||||||||||||||||||
Cost of sales | (804.6) | — | (804.6) | ||||||||||||||||||||
Gross profit | 351.0 | — | 351.0 | ||||||||||||||||||||
Other operating expenses | (174.0) | 10.0 | (a) | (164.0) | |||||||||||||||||||
Exceptional items | (48.2) | 48.2 | (b) | — | |||||||||||||||||||
Operating profit | 128.8 | 58.2 | 187.0 | ||||||||||||||||||||
Finance income | 2.7 | (0.9) | 1.8 | ||||||||||||||||||||
Finance costs | (32.8) | (0.5) | (33.3) | ||||||||||||||||||||
Net financing costs | (30.1) | (1.4) | (c) | (31.5) | |||||||||||||||||||
Profit before tax | 98.7 | 56.8 | 155.5 | ||||||||||||||||||||
Taxation | (30.2) | (2.5) | (d) | (32.7) | |||||||||||||||||||
Profit for the period | 68.5 | 54.3 | 122.8 | ||||||||||||||||||||
Profit attributable to: | |||||||||||||||||||||||
Equity owners of the parent | 68.8 | 54.3 | 123.1 | ||||||||||||||||||||
Non-controlling interests | (0.3) | — | (0.3) | ||||||||||||||||||||
68.5 | 54.3 | 122.8 | |||||||||||||||||||||
Weighted average shares outstanding in millions - basic | 187.5 | 187.5 | |||||||||||||||||||||
Basic earnings per share | 0.37 | 0.66 | |||||||||||||||||||||
Weighted average shares outstanding in millions - diluted | 187.5 | 187.5 | |||||||||||||||||||||
Diluted earnings per share | 0.37 | 0.66 |
Three months ended | Six months ended | ||||||||||||||||||||||
€ in millions | June 30, 2020 | June 30, 2019 | June 30, 2020 | June 30, 2019 | |||||||||||||||||||
Profit for the period | 62.6 | 46.2 | 110.0 | 68.5 | |||||||||||||||||||
Taxation | 16.4 | 12.6 | 33.8 | 30.2 | |||||||||||||||||||
Net financing costs | 16.5 | 15.3 | 28.5 | 30.1 | |||||||||||||||||||
Depreciation & amortization | 16.9 | 16.7 | 34.7 | 33.3 | |||||||||||||||||||
EBITDA | 112.4 | 90.8 | 207.0 | 162.1 | |||||||||||||||||||
Exceptional items (a) | 4.2 | 1.6 | 24.8 | 48.2 | |||||||||||||||||||
Other add-backs (b) | 2.2 | 5.8 | 6.9 | 10.0 | |||||||||||||||||||
Adjusted EBITDA | 118.8 | 98.2 | 238.7 | 220.3 | |||||||||||||||||||
Revenue | 599.0 | 537.8 | 1,281.9 | 1,155.6 | |||||||||||||||||||
Adjusted EBITDA margin (c) | 19.8 | % | 18.3 | % | 18.6 | % | 19.1 | % |
Three Months Ended June 30, 2020 | Six Months Ended June 30, 2020 | ||||||||||
YoY Growth | YoY Growth | ||||||||||
Reported Revenue Growth | 11.4 | % | 10.9 | % | |||||||
Of which: | |||||||||||
Organic Revenue Growth | 12.3 | % | 9.8 | % | |||||||
Calendar effect (a) | — | % | 1.7 | % | |||||||
Translational FX (b) | (0.9) | % | (0.6) | % | |||||||
Total | 11.4 | % | 10.9 | % |
For the six months ended June 30, | |||||||||||
2020 | 2019 | ||||||||||
€m | €m | ||||||||||
Net cash generated from operating activities | 301.0 | 125.9 | |||||||||
Cash used in investing activities | (24.6) | (19.0) | |||||||||
Net cash (used in)/provided by financing activities | (152.1) | 286.8 | |||||||||
Net increase in cash and cash equivalents | 124.3 | 393.7 | |||||||||
Cash and cash equivalents at end of period | 935.3 | 719.8 |
June 30, 2020 | December 31, 2019 | ||||||||||||||||
Note | €m | €m | |||||||||||||||
Non-current assets | |||||||||||||||||
Goodwill | |||||||||||||||||
Intangibles | |||||||||||||||||
Property, plant and equipment | |||||||||||||||||
Other non-current assets | |||||||||||||||||
Derivative financial instruments | 12 | ||||||||||||||||
Deferred tax assets | |||||||||||||||||
Total non-current assets | |||||||||||||||||
Current assets | |||||||||||||||||
Cash and cash equivalents | 10 | ||||||||||||||||
Inventories | |||||||||||||||||
Trade and other receivables | |||||||||||||||||
Indemnification assets | 11 | ||||||||||||||||
Short-term investments | 12 | ||||||||||||||||
Derivative financial instruments | 12 | ||||||||||||||||
Total current assets | |||||||||||||||||
Total assets | |||||||||||||||||
Current liabilities | |||||||||||||||||
Trade and other payables | |||||||||||||||||
Current tax payable | |||||||||||||||||
Provisions | 13 | ||||||||||||||||
Loans and borrowings | 12 | ||||||||||||||||
Derivative financial instruments | 12 | ||||||||||||||||
Total current liabilities | |||||||||||||||||
Non-current liabilities | |||||||||||||||||
Loans and borrowings | 12 | ||||||||||||||||
Employee benefits | 14 | ||||||||||||||||
Other non-current liabilities | |||||||||||||||||
Provisions | 13 | ||||||||||||||||
Derivative financial instruments | 12 | ||||||||||||||||
Deferred tax liabilities | |||||||||||||||||
Total non-current liabilities | |||||||||||||||||
Total liabilities | |||||||||||||||||
Net assets | |||||||||||||||||
Equity attributable to equity holders | |||||||||||||||||
Share capital and capital reserve | 16 | ||||||||||||||||
Share based compensation reserve | 15 | ||||||||||||||||
Founder Preferred Shares Dividend reserve | 17 | ||||||||||||||||
Translation reserve | |||||||||||||||||
Cash flow hedging reserve | ( | ||||||||||||||||
Retained earnings/(accumulated deficit reserve) | ( | ||||||||||||||||
Equity attributable to owners of the parent | |||||||||||||||||
Non-controlling interests | ( | ||||||||||||||||
Total equity |
For the three months ended June 30, | For the six months ended June 30, | ||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||||||||
Note | €m | €m | €m | €m | |||||||||||||||||||||||||
Revenue | |||||||||||||||||||||||||||||
Cost of sales | ( | ( | ( | ( | |||||||||||||||||||||||||
Gross profit | |||||||||||||||||||||||||||||
Other operating expenses | ( | ( | ( | ( | |||||||||||||||||||||||||
Exceptional items | 6 | ( | ( | ( | ( | ||||||||||||||||||||||||
Operating profit | |||||||||||||||||||||||||||||
Finance income | 7 | ||||||||||||||||||||||||||||
Finance costs | 7 | ( | ( | ( | ( | ||||||||||||||||||||||||
Net financing costs | ( | ( | ( | ( | |||||||||||||||||||||||||
Profit before tax | |||||||||||||||||||||||||||||
Taxation | 8 | ( | ( | ( | ( | ||||||||||||||||||||||||
Profit for the period | |||||||||||||||||||||||||||||
Attributable to: | |||||||||||||||||||||||||||||
Equity owners of the parent | |||||||||||||||||||||||||||||
Non-controlling interests | ( | ( | ( | ||||||||||||||||||||||||||
Earnings per share | |||||||||||||||||||||||||||||
Basic and diluted earnings per share | 9 | € | € | € | € |
For the three months ended June 30, | For the six months ended June 30, | ||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||||||||
Note | €m | €m | €m | €m | |||||||||||||||||||||||||
Profit for the period | |||||||||||||||||||||||||||||
Other comprehensive income/(loss): | |||||||||||||||||||||||||||||
Actuarial losses on defined benefit pension plans | 14 | ( | ( | ( | ( | ||||||||||||||||||||||||
Taxation credit on measurement of defined benefit pension plans | |||||||||||||||||||||||||||||
Items not reclassified to the Statement of Profit or Loss | ( | ( | ( | ( | |||||||||||||||||||||||||
Loss on investment in foreign subsidiary, net of hedge | ( | ( | ( | ( | |||||||||||||||||||||||||
Effective portion of changes in fair value of cash flow hedges | ( | ( | ( | ||||||||||||||||||||||||||
Taxation charge/(credit) relating to components of other comprehensive income | ( | ||||||||||||||||||||||||||||
Items that may be subsequently reclassified to the Statement of Profit or Loss | ( | ( | ( | ||||||||||||||||||||||||||
Other comprehensive (loss)/income for the period, net of tax | ( | ( | ( | ( | |||||||||||||||||||||||||
Total comprehensive income for the period | |||||||||||||||||||||||||||||
Attributable to: | |||||||||||||||||||||||||||||
Equity owners of the parent | |||||||||||||||||||||||||||||
Non-controlling interests | ( | ( | ( | ||||||||||||||||||||||||||
Share capital and capital reserve | Share based compensation reserve | Founder preferred shares dividend reserve | Translation reserve | Cash flow hedge reserve | Retained earnings/ (accumulated deficit reserve) | Equity attributable to owners of the parent | Non-controlling interests | Total Equity | |||||||||||||||||||||||||||||||||||||||||||||||||||
Note | €m | €m | €m | €m | €m | €m | €m | €m | €m | ||||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of January 1, 2020 | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Profit/(loss) for the period | — | — | — | — | — | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive (loss)/income for the period | — | — | — | ( | ( | ( | — | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||
Total comprehensive (loss)/income for the period | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Founder Preferred Shares Annual Dividend Amount | — | ( | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Vesting of Non-Executive Restricted Stock award | ( | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Share based payment charge | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Issue of ordinary shares | 16 | ( | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Repurchase of ordinary shares | 16 | ( | — | — | — | — | — | ( | — | ( | |||||||||||||||||||||||||||||||||||||||||||||||||
Reclassification of awards for settlement of tax liabilities | — | ( | — | — | — | — | ( | — | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||
Non-controlling interests extinguished on acquisition of subsidiary | — | — | — | — | — | ( | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||
Total transactions with owners, recognized directly in equity | ( | ( | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of June 30, 2020 |
Share capital and capital reserve | Share based compensation reserve | Founder preferred shares dividend reserve | Translation reserve | Cash flow hedge reserve | Accumulated deficit reserve | Equity attributable to owners of the parent | Non-controlling interests | Total Equity | |||||||||||||||||||||||||||||||||||||||||||||
€m | €m | €m | €m | €m | €m | €m | €m | €m | |||||||||||||||||||||||||||||||||||||||||||||
Balance as of January 1, 2019 | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||
Change in accounting policy | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Restated Equity as at January 1, 2019 | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||
Profit/(loss) for the period | — | — | — | — | — | ( | |||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss for the period | — | — | — | ( | ( | ( | ( | — | ( | ||||||||||||||||||||||||||||||||||||||||||||
Total comprehensive (loss)/income for the period | — | — | — | ( | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||||
Founder Preferred Shares Annual Dividend Amount | — | ( | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||
Vesting of Non-Executive Restricted Stock award | ( | — | — | — | — | ( | — | ( | |||||||||||||||||||||||||||||||||||||||||||||
Issue of ordinary shares | ( | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Listing and share transaction costs | ( | — | — | — | — | — | ( | — | ( | ||||||||||||||||||||||||||||||||||||||||||||
Share based payment charge | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Reclassification of awards for settlement of tax liabilities | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Total transactions with owners, recognized directly in equity | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of June 30, 2019 | ( | ( | ( |
For the six months ended June 30, | |||||||||||||||||
2020 | 2019 | ||||||||||||||||
Note | €m | €m | |||||||||||||||
Cash flows from operating activities | |||||||||||||||||
Profit for the period | |||||||||||||||||
Adjustments for: | |||||||||||||||||
Exceptional items | 6 | ||||||||||||||||
Share based payments expense | 15 | ||||||||||||||||
Depreciation and amortization | 5 | ||||||||||||||||
Net finance costs | 7 | ||||||||||||||||
Taxation | 8 | ||||||||||||||||
Operating cash flow before changes in working capital, provisions and net of acquisitions | |||||||||||||||||
Decrease/(increase) in inventories | ( | ||||||||||||||||
Decrease/(increase) in trade and other receivables | ( | ||||||||||||||||
Increase/(decrease) in trade and other payables | ( | ||||||||||||||||
Increase in employee benefits and other provisions | |||||||||||||||||
Cash generated from operations before tax and exceptional items | |||||||||||||||||
Cash flows relating to exceptional items | 6 | ( | ( | ||||||||||||||
Tax paid | ( | ( | |||||||||||||||
Net cash generated from operating activities | |||||||||||||||||
Cash flows from investing activities | |||||||||||||||||
Purchase of subsidiaries, net of cash acquired | 4 | ( | ( | ||||||||||||||
Purchase of property, plant and equipment and intangibles | ( | ( | |||||||||||||||
Cash used in investing activities | ( | ( | |||||||||||||||
Cash flows from financing activities | |||||||||||||||||
Proceeds from issuance of ordinary shares | |||||||||||||||||
Share issuance costs | ( | ||||||||||||||||
Repurchase of ordinary shares | 16 | ( | |||||||||||||||
Payments related to shares withheld for tax | 15 | ( | ( | ||||||||||||||
Issuance of new loan principal | |||||||||||||||||
Repayment of loan principal | ( | ( | |||||||||||||||
Payment of lease liabilities | ( | ( | |||||||||||||||
Interest paid | ( | ( | |||||||||||||||
Interest received | |||||||||||||||||
Other financing cash flows | ( | ||||||||||||||||
Net cash (used in)/provided by financing activities | ( | ||||||||||||||||
Net increase in cash and cash equivalents | |||||||||||||||||
Cash and cash equivalents at beginning of period | 10 | ||||||||||||||||
Effect of exchange rate fluctuations | ( | ( | |||||||||||||||
Cash and cash equivalents at end of period | 10 |
For the three months ended June 30, | For the six months ended June 30, | ||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||||||||
Note | €m | €m | €m | €m | |||||||||||||||||||||||||
Profit for the period | |||||||||||||||||||||||||||||
Taxation | |||||||||||||||||||||||||||||
Net financing costs | 7 | ||||||||||||||||||||||||||||
Depreciation & amortization | |||||||||||||||||||||||||||||
EBITDA | |||||||||||||||||||||||||||||
Exceptional items | 6 | ||||||||||||||||||||||||||||
Other add-backs | |||||||||||||||||||||||||||||
Adjusted EBITDA |
For the three months ended June 30, | For the six months ended June 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
€m | €m | €m | €m | ||||||||||||||||||||
United Kingdom | |||||||||||||||||||||||
Italy | |||||||||||||||||||||||
Germany | |||||||||||||||||||||||
Sweden | |||||||||||||||||||||||
France | |||||||||||||||||||||||
Norway | |||||||||||||||||||||||
Austria | |||||||||||||||||||||||
Spain | |||||||||||||||||||||||
Rest of Europe | |||||||||||||||||||||||
Total external revenue by geography |
For the three months ended June 30, | For the six months ended June 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
€m | €m | €m | €m | ||||||||||||||||||||
Findus Group integration costs | |||||||||||||||||||||||
Release of indemnification assets | |||||||||||||||||||||||
Brexit | |||||||||||||||||||||||
Supply chain reconfiguration | ( | ( | |||||||||||||||||||||
Goodfella's Pizza & Aunt Bessie's integration costs | |||||||||||||||||||||||
Settlement of legacy matters | ( | ( | |||||||||||||||||||||
Factory optimization | |||||||||||||||||||||||
Total exceptional items |
For the three months ended June 30, | For the six months ended June 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
€m | €m | €m | €m | ||||||||||||||||||||
Finance income | |||||||||||||||||||||||
Interest income | |||||||||||||||||||||||
Net foreign exchange gains on translation of financial assets and liabilities | |||||||||||||||||||||||
Total finance income | |||||||||||||||||||||||
Interest expense (a) | ( | ( | ( | ( | |||||||||||||||||||
Net foreign exchange arising on translation of financial assets and liabilities | ( | ||||||||||||||||||||||
Net pension interest costs | ( | ( | ( | ( | |||||||||||||||||||
Amortization of borrowing costs | ( | ( | ( | ( | |||||||||||||||||||
Net fair value losses on derivatives held at fair value through profit or loss | ( | ( | ( | ( | |||||||||||||||||||
Total finance costs | ( | ( | ( | ( | |||||||||||||||||||
Net finance costs | ( | ( | ( | ( |
For the three months ended June 30, | For the six months ended June 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
Basic earnings per share | |||||||||||||||||||||||
Profit for the period attributable to equity owners of the parent (€m) | |||||||||||||||||||||||
Weighted average Ordinary Shares and Founder Preferred Shares (basic) in millions | |||||||||||||||||||||||
Basic earnings per share | € | € | € | € |
For the three months ended June 30, | For the six months ended June 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
Diluted earnings per share | |||||||||||||||||||||||
Profit for the period attributable to equity owners of the parent (€m) | |||||||||||||||||||||||
Weighted average Ordinary Shares and Founder Preferred Shares (diluted) in millions | |||||||||||||||||||||||
Diluted earnings per share | € | € | € | € |
June 30, 2020 | December 31, 2019 | ||||||||||
€m | €m | ||||||||||
Cash and cash equivalents | |||||||||||
Restricted cash | |||||||||||
Cash and cash equivalents | |||||||||||
Bank overdraft | ( | ||||||||||
Cash and cash equivalents per Statement of Cash Flows |
€m | |||||
Balance at January 1, 2020 | |||||
Release of indemnification asset | ( | ||||
Balance at June 30, 2020 |
Financial assets at amortized cost | Financial assets at fair value through profit or loss | Derivatives at fair value through profit or loss | Derivatives used for hedging | Financial liabilities at amortized cost | Total | ||||||||||||||||||||||||||||||
June 30, 2020 | €m | €m | €m | €m | €m | €m | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||||||
Derivative financial instruments | — | ||||||||||||||||||||||||||||||||||
Trade receivables | — | — | |||||||||||||||||||||||||||||||||
Cash and cash equivalents | — | — | |||||||||||||||||||||||||||||||||
Short-term investments | — | — | — | — | |||||||||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||||||
Derivative financial instruments | — | — | ( | ( | ( | ||||||||||||||||||||||||||||||
Trade and other payables excluding non-financial liabilities | — | — | ( | ( | |||||||||||||||||||||||||||||||
Loans and borrowings | — | — | ( | ( | |||||||||||||||||||||||||||||||
Total | ( | ( |
Financial assets at amortized cost | Financial assets at fair value through profit or loss | Derivatives at fair value through profit or loss | Derivatives used for hedging | Financial liabilities at amortized cost | Total | ||||||||||||||||||||||||||||||
December 31, 2019 | €m | €m | €m | €m | €m | €m | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||||||
Derivative financial instruments | — | ||||||||||||||||||||||||||||||||||
Trade receivables | — | — | |||||||||||||||||||||||||||||||||
Cash and cash equivalents | — | — | |||||||||||||||||||||||||||||||||
Short-term investments | — | — | — | — | |||||||||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||||||
Derivative financial instruments | — | — | ( | ( | |||||||||||||||||||||||||||||||
Trade and other payables excluding non-financial liabilities | — | — | ( | ( | |||||||||||||||||||||||||||||||
Loans and borrowings | — | — | ( | ( | |||||||||||||||||||||||||||||||
Total | ( | ( | ( |
Fair value | Carrying value | ||||||||||||||||||||||
June 30, 2020 | December 31, 2019 | June 30, 2020 | December 31, 2019 | ||||||||||||||||||||
€m | €m | €m | €m | ||||||||||||||||||||
Senior EUR/USD loans | |||||||||||||||||||||||
Other external debt | |||||||||||||||||||||||
2024 fixed rate senior secured notes | |||||||||||||||||||||||
Less deferred borrowing costs | ( | ( | ( | ||||||||||||||||||||
Restructuring | Onerous/ unfavorable contracts | Provisions related to other taxes | Other | Total | |||||||||||||||||||||||||
€m | €m | €m | €m | €m | |||||||||||||||||||||||||
Balance as of January 1, 2020 | |||||||||||||||||||||||||||||
Additional provision in the period | |||||||||||||||||||||||||||||
Release of provision | ( | ( | ( | ||||||||||||||||||||||||||
Utilization of provision | ( | ( | ( | ( | |||||||||||||||||||||||||
Foreign exchange | ( | ( | |||||||||||||||||||||||||||
Balance as of June 30, 2020 | |||||||||||||||||||||||||||||
Analysis of total provisions: | June 30, 2020 | December 31, 2019 | |||||||||||||||||||||||||||
Current | |||||||||||||||||||||||||||||
Non-current | |||||||||||||||||||||||||||||
Total |
€m | |||||
Balance as of January 1, 2020 | |||||
Service cost | |||||
Net interest expense | |||||
Actuarial losses on pension scheme valuations | |||||
Benefits paid | ( | ||||
Foreign exchange differences on translation | ( | ||||
Balance as of June 30, 2020 |
January 1, 2016 Award | January 1, 2017 Award | January 1, 2018 Award | January 1, 2019 Award | January 1, 2020 Award | Total | ||||||||||||||||||||||||||||||
Number of awards outstanding at January 1, 2020 | |||||||||||||||||||||||||||||||||||
New awards granted in the period | |||||||||||||||||||||||||||||||||||
Forfeitures in the period | ( | ( | ( | ( | ( | ||||||||||||||||||||||||||||||
Awards vested and issued in period | ( | ( | |||||||||||||||||||||||||||||||||
Number of awards outstanding at June 30, 2020 |
January 1, 2016 Award | January 1, 2017 Award | January 1, 2018 Award | January 1, 2019 Award | January 1, 2020 Award | |||||||||||||||||||||||||
Revised grant date price | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Exercise price | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Expected life of restricted share | |||||||||||||||||||||||||||||
Expected volatility of the share price | % | % | % | % | % | ||||||||||||||||||||||||
Dividend yield expected | % | % | % | % | % | ||||||||||||||||||||||||
Risk free rate | % | % | % | % | % | ||||||||||||||||||||||||
Employee exit rate | % | % | % | % | % | ||||||||||||||||||||||||
EBITDA Performance Target Conditions | % | % | % | % | % |
Total Share based compensation reserve | |||||
€m | |||||
Balance as of January 1, 2020 | |||||
Non-Executive Director restricted share awards charge | |||||
Directors and Senior Management share awards charge - January 1, 2016 | |||||
Directors and Senior Management share awards charge - January 1, 2017 | |||||
Directors and Senior Management share awards charge - January 1, 2018 | |||||
Directors and Senior Management share awards charge - January 1, 2019 | |||||
Directors and Senior Management share awards charge - January 1, 2020 | |||||
Shares issued upon vesting of 2016 Award | ( | ||||
Vesting of Non-Executive Director restricted shares | ( | ||||
Reclassification of employer tax for Director and Senior Management share awards | ( | ||||
Balance as of June 30, 2020 |
Shares | June 30, 2020 | December 31, 2019 | ||||||||||||||||||||||||
June 30, 2020 | December 31, 2019 | €m | €m | |||||||||||||||||||||||
Authorized Share Capital issued and fully paid: | ||||||||||||||||||||||||||
Ordinary Shares | ||||||||||||||||||||||||||
Founder Preferred Shares | ||||||||||||||||||||||||||
Total share capital and capital reserve | ||||||||||||||||||||||||||
Listing and share transaction costs | ( | ( | ||||||||||||||||||||||||
Total net share capital and capital reserve |
Cover |
6 Months Ended |
---|---|
Jun. 30, 2020 | |
Cover [Abstract] | |
Document Type | 6-K |
Amendment Flag | false |
Document Period End Date | Jun. 30, 2020 |
Document Fiscal Year Focus | 2020 |
Document Fiscal Period Focus | Q2 |
Entity Registrant Name | Nomad Foods Ltd. |
Entity Central Index Key | 0001651717 |
Current Fiscal Year End Date | --12-31 |
Unaudited Condensed Consolidated Interim Statements of Profit or Loss - EUR (€) € in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2020 |
Jun. 30, 2019 |
Jun. 30, 2020 |
Jun. 30, 2019 |
|
Profit or loss [abstract] | ||||
Revenue | € 599.0 | € 537.8 | € 1,281.9 | € 1,155.6 |
Cost of sales | (417.7) | (377.5) | (901.7) | (804.6) |
Gross profit | 181.3 | 160.3 | 380.2 | 351.0 |
Other operating expenses | (81.6) | (84.6) | (183.1) | (174.0) |
Exceptional items | (4.2) | (1.6) | (24.8) | (48.2) |
Operating profit | 95.5 | 74.1 | 172.3 | 128.8 |
Finance income | 0.2 | 1.1 | 5.2 | 2.7 |
Finance costs | (16.7) | (16.4) | (33.7) | (32.8) |
Net financing costs | (16.5) | (15.3) | (28.5) | (30.1) |
Profit before tax | 79.0 | 58.8 | 143.8 | 98.7 |
Taxation | (16.4) | (12.6) | (33.8) | (30.2) |
Profit for the period | 62.6 | 46.2 | 110.0 | 68.5 |
Equity owners of the parent | 62.6 | 46.4 | 110.1 | 68.8 |
Non-controlling interests | € 0.0 | € (0.2) | € (0.1) | € (0.3) |
Earnings per share | ||||
Basic and diluted earnings per share (in euros per share) | € 0.32 | € 0.24 | € 0.55 | € 0.37 |
General information |
6 Months Ended |
---|---|
Jun. 30, 2020 | |
General Information About Financial Statements [Abstract] | |
General information | General information These unaudited condensed consolidated interim financial statements (“interim financial statements”) as at and for the three and six months ended June 30, 2020 comprise Nomad Foods Limited and its subsidiaries (together referred to as the “Company” or “Nomad”). Nomad Foods Limited (NYSE: NOMD) is a leading frozen foods company building a global portfolio of best-in-class food companies and brands within the frozen category and in the future across the broader food sector. Nomad produces, markets and distributes brands in 17 countries and has the leading market share in Western Europe. The Company’s portfolio of leading frozen food brands includes Birds Eye, Iglo, Findus, Goodfella's and Aunt Bessie's. The Company’s sales and working capital levels have historically been affected to a limited extent by seasonality. In general, sales volumes for frozen food are slightly higher in colder or winter months and variable production costs and working capital will vary depending on the harvesting and buying periods of seasonal raw materials, in particular vegetable crops. For example, stock levels typically peak in August to September just after the pea harvest and as a result, more working capital is required during those months. Nomad is a company registered in the British Virgin Islands and domiciled for tax in the United Kingdom.
|
Basis of preparation |
6 Months Ended |
---|---|
Jun. 30, 2020 | |
Basis Of Presentation [Abstract] | |
Basis of preparation | Basis of preparation These unaudited condensed consolidated interim financial statements for the three and six months ended June 30, 2020 have been prepared in accordance with International Accounting Standard 34, Interim Financial Reporting, as issued by the IASB and as adopted by the European Union. They do not include all the information required for a complete set of IFRS financial statements. The financial information consolidates the Company and the subsidiaries it controls and includes selected notes to explain events and transactions that are significant to an understanding of the changes in Nomad’s financial position and performance since the last annual consolidated financial statements. Therefore the unaudited condensed consolidated interim financial statements should be read in conjunction with the annual financial statements for the year ended December 31, 2019, which have been prepared in accordance with International Financial Reporting Standards as issued by the IASB and as adopted by the European Union (“IFRS”). These unaudited condensed consolidated interim financial statements were authorized for issue by the Company’s Board of Directors on August 4, 2020. The accounting policies used by management in preparing these condensed consolidated financial statements were the same as those that applied to the consolidated financial statements as at and for the year ended December 31, 2019, except taxes on income. These are accrued based on management's estimate of the average annual effective income tax rate on profits excluding exceptional items, applied to the pre-tax income excluding exceptional items of the period. It also reflects the tax impact of exceptional items accounted for in the period. On March 11, 2020, the World Health Organization officially declared COVID-19, the disease caused by novel coronavirus, a pandemic. The Directors are working with Management to monitor the evolution of the pandemic, including how it may affect the markets and the general population and also the potential financial impact. The final impact of the pandemic on the Company is hard to predict, however, the Directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Thus, they continue to adopt the going concern basis in preparing the consolidated interim financial statements.
|
Accounting estimates and judgments |
6 Months Ended |
---|---|
Jun. 30, 2020 | |
Accounting Policies, Changes in Accounting Estimates and Errors [Abstract] | |
Accounting estimates and judgments | Accounting estimates and judgmentsThe preparation of financial statements in accordance with IFRS requires the use of estimates. It also requires management to exercise judgment in applying the accounting policies. The key areas involving a higher degree of judgment or complexity, or areas where assumptions are significant to the consolidated financial statements are highlighted under the relevant note. Management have also taken into account the impact and potential future impact of COVID-19 on these estimates and judgments. We will continue to assess the impact of future developments in relation to COVID-19 as it relates to estimates, especially around the carrying value of goodwill, brands and other intangibles, as well as on property, plant and equipment. In particular, we will focus on the long-term impact on the food service customer relationship intangible assets. In preparing the condensed consolidated interim financial statements, the key sources of estimation uncertainty for the interim period ended June 30, 2020, which continues to be the same as those that applied to the consolidated financial statements as at and for the year ended December 31, 2019. Significant judgments are made in the process of applying accounting policies for Business Combinations that have a significant effect on the amounts reported in the consolidated financial statements. The Company is required to recognize separately, at the acquisition date, the identifiable assets, liabilities and contingent liabilities acquired or assumed in a business combination at their fair values. This involves judgment over whether intangible assets can be separately identified. 3.1 Discounts and trade promotions Discounts given by the Company include rebates, price reductions and incentives given to customers, promotional couponing and trade communication costs. Each customer has a unique agreement that is governed by a combination of observable and unobservable performance conditions. Trade promotions comprise of amounts paid to retailers for programs designed to promote Company products and include pricing allowances, merchandising funds and customer coupons, which are offered through various programs to customers and consumers. The ultimate costs of these programs can depend upon retailer performance and is the subject of significant management estimates. The estimated ultimate cost of the program is based upon the programs offered, timing of those offers, estimated retailer performance based on history, management’s experience and current economic trends. At each financial year end date, any discount or trade promotion expense incurred but not yet invoiced is estimated and accrued for. In certain cases, the estimate for discounts and trade promotions requires the use of forecast information for future trading periods and therefore a degree of estimation uncertainty exists. These estimates are sensitive to variances between actual results and forecasts. The estimate is based on accumulated experience and the principle that revenue is only recognized to the extent that it is highly probable that a significant reversal will not occur. The accruals are presented as ‘trade terms’ and offset against trade receivables due to the same customer, or as trade term payables where there is no receivable to be offset. Management use judgment when considering when accruals can be released. 3.2 Business combinations The Company is required to recognize separately, at the acquisition date, the identifiable assets, liabilities and contingent liabilities acquired or assumed in a business combination at their fair values. This involves an estimate of fair value of all assets and liabilities acquired. Such estimates are based on valuation techniques, which require considerable estimation in forecasting future cash flows and developing other assumptions. These estimates are based on information available on the acquisition date and assumptions that have been deemed reasonable by management. The following estimates and assumptions can materially affect our financial position and profit: •The fair value and expected useful economic life of acquired intangible and tangible assets that are subject to depreciation or amortization in future periods. •Future changes to the assumptions over forecast future profitability used in estimating the value of intangible assets and goodwill may result in additional expenses or income. •Future changes to the assumptions used in estimating the value of uncertain tax positions may result in additional expenses or income. 3.3 Carrying value of goodwill and brands Determining whether goodwill and brands are impaired requires an estimation of the value in use of the cash generating unit to which goodwill and brands have been allocated. The value in use calculation requires the entity to estimate the future cash flows expected to arise from the cash generating unit and a suitable discount rate in order to calculate present value. A value in use calculation is carried out on an annual basis unless the Company identifies triggers that would indicate that the carrying value of these assets is impaired. 3.4 Employee benefit obligation The Group operates a number of defined benefit pension schemes and post-employment benefit schemes which are valued by estimating the amount of future benefit that employees have earned in return for their service in the current and prior periods. Each Scheme has an actuarial valuation performed and is dependent on a series of assumptions. See Note 14 for details of material changes, if any, to assumptions since December 31, 2019. 3.5 Uncertain tax positions Where tax exposures can be quantified, an accrual for uncertain tax positions is made based on best estimates and judgments with regard to the amounts expected to be paid to the relevant tax authority. Given the inherent uncertainties in assessing the outcomes of these exposures (which can sometimes be binary in nature), the Company could in future periods experience adjustments to these accruals. The factors considered include the progress of discussions with the tax authorities and the level of documentary support for historical positions taken by previous owners. 3.6 Fair value of derivative financial instruments. Note 12 includes details of the fair value of the derivative instruments that the Company holds at the end of each financial period. Management has estimated the fair value of these instruments by using valuations based on discounted cash flow calculations. 3.7 Share-based payments At the end of each reporting period, the Company, in estimating its share-based payment charge, assesses and revises its estimates of the number of interests that are expected to vest based on the non-market vesting conditions. Note 15 contains details of these assumptions and of the valuation model used. 3.8 Impairment of property, plant and equipment Items of property, plant and equipment that are subject to depreciation are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognized for the amount by which the assets carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset's fair value less costs to dispose and its value in use.
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Acquisitions |
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Business Combinations1 [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Acquisitions | Acquisitions Toppfrys AB Effective March 30, 2020, the Company acquired the remaining 19% stake of the share capital of Toppfrys AB, increasing the Company's ownership to 100%. The Company paid €1.0 million for the equity share acquired and will no longer recognize any non-controlling interest from this date. Indemnification assets
As at June 30, 2020, €12.0 million (December 31, 2019: €29.8 million) of the indemnification assets relate to the acquisition of the Findus Group, which is backed primarily by 618,099 shares that are held in escrow and are valued at $21.45 (€19.11) (December 31, 2019: 1,583,627 shares valued at $22.37 (€19.96)) each. The shares placed in escrow are being released in stages over a four-year period which began in January 2019 and has continued on each anniversary thereafter. In January 2020, 965,528 shares were released from escrow. As a consequence, the indemnification asset was reduced by a value of €17.8 million in January 2020. The corresponding charge has been recognized within exceptional items in Note 6. The indemnification asset of €5.6 million (December 31, 2019: €5.6 million) recognized in relation to the Goodfella’s Pizza acquisition relates to several contingent liabilities that arose prior to acquisition.
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Segment reporting | Segment reporting The Chief Operating Decision Maker (“CODM”) of the Company considers there to be one reporting and operating segment, being “Frozen Foods” and is reflected in the segment presentation below for the periods presented.
Other add-backs include the elimination of share-based payment expense and related employer payroll tax expense of €2.0 million for the three months ended June 30, 2020 (2019: €5.5 million) and €5.9 million for the six months ended June 30, 2020 (2019: €9.7 million), as well as the elimination of M&A related investigation costs, professional fees, transaction costs, purchase accounting related valuations and post-close transaction costs of €0.2 million for the three months ended June 30, 2020 (2019: €0.3 million) and €1.0 million for the six months ended June 30, 2020 (2019: €0.3 million). We exclude these costs because we do not believe they are indicative of our normal operating costs, can vary significantly in amount and frequency, and are unrelated to our underlying operating performance. No information on segment assets or liabilities is presented to the CODM. External revenue by geography
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Segment As Adjusted EBITDA | The Chief Operating Decision Maker (“CODM”) of the Company considers there to be one reporting and operating segment, being “Frozen Foods” and is reflected in the segment presentation below for the periods presented.
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Disclosure of geographical areas [text block] | External revenue by geography
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Segment reporting |
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Operating Segments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment reporting | Segment reporting The Chief Operating Decision Maker (“CODM”) of the Company considers there to be one reporting and operating segment, being “Frozen Foods” and is reflected in the segment presentation below for the periods presented.
Other add-backs include the elimination of share-based payment expense and related employer payroll tax expense of €2.0 million for the three months ended June 30, 2020 (2019: €5.5 million) and €5.9 million for the six months ended June 30, 2020 (2019: €9.7 million), as well as the elimination of M&A related investigation costs, professional fees, transaction costs, purchase accounting related valuations and post-close transaction costs of €0.2 million for the three months ended June 30, 2020 (2019: €0.3 million) and €1.0 million for the six months ended June 30, 2020 (2019: €0.3 million). We exclude these costs because we do not believe they are indicative of our normal operating costs, can vary significantly in amount and frequency, and are unrelated to our underlying operating performance. No information on segment assets or liabilities is presented to the CODM. External revenue by geography
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Finance income and costs |
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Analysis of income and expense [abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Finance income and costs | Finance income and costs
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Taxation |
6 Months Ended |
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Jun. 30, 2020 | |
Income Taxes [Abstract] | |
Taxation | Taxation Income tax expense of €16.4 million for the three months ended June 30, 2020 (2019: €12.6 million) and €33.8 million for the six months ended June 30, 2020 (2019: €30.2 million) is accrued based on management’s estimate of the average annual effective income tax rate on profits excluding exceptional items, applied to the pre-tax income excluding exceptional items of the periods. This estimate takes into account the reduction in provisions due to resolution of certain pre-acquisition risks previously covered by escrow. It also reflects the tax impact of exceptional items accounted for in the periods. The Company’s subsidiaries, which are subject to tax, operate in many different jurisdictions and, in some of these, certain tax matters are under discussion with local tax authorities. These discussions are often complex and can take many years to resolve. Accruals for tax contingencies require management to make estimates and judgments with respect to the ultimate outcome of a tax audit, and actual results could vary from these estimates. Where tax exposures can be quantified, a provision is made based on best estimates and management’s judgment. Given the inherent uncertainties in assessing the outcomes of these exposures (which can sometimes be binary in nature), the Company could in future periods experience adjustments to this provision. Management believes that the Company’s tax position on all open matters, including those in current discussion with local tax authorities, is robust and that the Company is appropriately provided.
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Earnings per share |
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Earnings per share [abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings per share | Earnings per share
For the three months and six months period ended June 30, 2020, the number of shares in both the diluted and basic earnings per share calculation has been adjusted by 32,140 shares for the dilutive impact of the 2020 Non-Executive Restricted Stock Awards that the Company is obligated to issue in 2021. In addition to this, share awards due to be issued under the Company’s Amended and Restated Long Term 2015 Incentive Plan (“LTIP”) have been included (2017 award grant: 85,315 shares) where contingent events have occurred and the Company is obligated to issue these in January 2021 after the vesting period has been completed. Refer to Note 15 for further details. There is no adjustment to the profit for the period attributable to equity owners of the parent.
The Ordinary shares that could be issued to settle the Founder Preferred Shares Annual Dividend Amount are potentially dilutive, but as set out in Note 17, the Founder Preferred Shares Annual Dividend Amount is determined with reference to the Dividend Determination Period of a financial year, i.e. the last consecutive trading days of 2020.
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Cash and cash equivalents |
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Jun. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Subclassifications of assets, liabilities and equities [abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | Cash and cash equivalents
‘Cash and cash equivalents’ comprise cash balances and deposits. Restricted cash comprises money that is primarily reserved for a specific purpose and therefore not available for immediate or general business use. Bank overdrafts that are repayable on demand and form an integral part of the Company's cash management are included as a component of cash and cash equivalents for the purposes of the Statement of Cash Flows.
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Indemnification assets |
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Business Combinations1 [Abstract] | |||||||||||||||||||||||||||||||
Indemnification assets | Acquisitions Toppfrys AB Effective March 30, 2020, the Company acquired the remaining 19% stake of the share capital of Toppfrys AB, increasing the Company's ownership to 100%. The Company paid €1.0 million for the equity share acquired and will no longer recognize any non-controlling interest from this date. Indemnification assets
As at June 30, 2020, €12.0 million (December 31, 2019: €29.8 million) of the indemnification assets relate to the acquisition of the Findus Group, which is backed primarily by 618,099 shares that are held in escrow and are valued at $21.45 (€19.11) (December 31, 2019: 1,583,627 shares valued at $22.37 (€19.96)) each. The shares placed in escrow are being released in stages over a four-year period which began in January 2019 and has continued on each anniversary thereafter. In January 2020, 965,528 shares were released from escrow. As a consequence, the indemnification asset was reduced by a value of €17.8 million in January 2020. The corresponding charge has been recognized within exceptional items in Note 6. The indemnification asset of €5.6 million (December 31, 2019: €5.6 million) recognized in relation to the Goodfella’s Pizza acquisition relates to several contingent liabilities that arose prior to acquisition.
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Financial instruments |
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Financial Instruments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financial instruments | Financial instruments The following table shows the carrying amount of each Statement of Financial Position class split into the relevant category of financial instrument as defined in IFRS 9 “Financial Instruments”.
Trade receivables disclosed in the table above are net of contract liabilities related to discounts and trade marketing expenses of €260.5 million. Loans and borrowings includes €107.9 million relating to lease liabilities and are stated gross of capitalized deferred borrowing costs. The Company has entered into facilities with third-party banks in which the Company may sell qualifying trade debtors on a non-recourse basis. Under the terms of the agreements, the Company has transferred substantially all the credit risks and control of the receivables, which are subject to this agreement. There were no derecognized trade receivables at the period end (December 31, 2019: nil). The Company has initiated the setup of Supply Chain Financing (“SCF”) arrangements for its suppliers. The principal purpose of these arrangements is to provide the supplier with the option to access liquidity earlier through the sale of its receivables due from the Company to a bank or other financial institution prior to their due date. Management has determined that the Company’s payables to these suppliers have neither been extinguished nor have the liabilities been significantly modified by these arrangements. The value of amounts payable, invoice due dates and other terms and conditions applicable, from the Company’s perspective, remain unaltered, with only the ultimate payee being changed. At June 30, 2020, the value of amounts payable under the SCF program was nil (December 31, 2019: nil). The cash outflows in respect of these arrangements will be recognized within operating cash flows.
Trade receivables disclosed in the table above are net of contract liabilities related to discounts and trade marketing expenses of €191.2 million. Loans and borrowings includes €109.0 million relating to lease liabilities and are stated gross of capitalized deferred borrowing costs. The Company has determined that the carrying amount of trade receivables, trade payables and cash and cash equivalents are a reasonable approximation of fair value. Derivative financial instruments The financial instruments are not traded in an active market and so the fair value of these instruments is determined from the implied forward rate. The valuation technique utilized by the Company maximizes the use of observable market data where it is available. All significant inputs required to fair value the instrument are observable. The Company has classified its derivative financial instruments as level 2 instruments as defined in IFRS 13 “Fair value measurement”. Short-term investments Short-term investments are valued using inputs that are derived principally from or corroborated by observable market data. The Company has classified these as level 2 instruments as defined in IFRS 13 “Fair value measurement”. Interest bearing loans and borrowings The fair value of the Senior Secured Notes is determined by reference to price quotations in the active market in which they are traded. They are classified as level 1 instruments. The fair value of the senior loans is calculated by discounting the expected future cash flows at the period end’s prevailing interest rates. They are classified as level 2 instruments. There is no requirement to determine or disclose the fair value of lease liabilities. The Company has outstanding Senior Loans of €553.2 million and $926.0 million (€825.1 million) respectively (the “Loans”). Loans are repayable on May 15, 2024. The Senior USD Loan requires a repayment of $9.6 million (€8.6 million) in May each year until maturity. Furthermore, as part of the Senior Loan structure, the Company is additionally required to undertake an annual excess cash flow calculation whereby additional principal could be paid. An €80.0 million Revolving Credit Facility is available until May 15, 2023 and is utilized also to support the issuance of letters of credit and bank guarantees. The Company uses cross currency interest rate swaps to convert $926.0 million of Senior USD Loans into €836.5 million of EUR denominated debt with a fixed rate of interest, designated as a cash flow hedge. Additional cross currency interest rate swaps have been entered into that receive €306.6 million with fixed interest flows and pays £258.1 million with fixed interest flows. £220.2 million of these swaps have been designated as a net investment hedge of the Company's investments in Pound Sterling. Hedging instruments mirror the annual amortization payments made under the loans and are adjusted for repayments made under the annual excess cash flow calculation. Nomad Foods BondCo Plc has €400.0 million of 3.25% Senior Secured notes due May 15, 2024 (the “Notes”). Interest on the Notes is payable semi-annually in arrears on May 15 and November 15. The Senior Loans, Senior Secured Notes and any drawn balances of the Revolving Credit Facility are secured with equal ranking against assets of the Company and specified subsidiaries.
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Provisions |
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Other Provisions, Contingent Liabilities and Contingent Assets [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provisions | Provisions
Updates since December 31, 2019 Restructuring The €9.5 million (December 31, 2019: €7.4 million) provision relates to committed plans for certain restructuring activities of an exceptional nature which are due to be completed within the next 12 months. An additional provision of €4.6 million was made and €2.5 million has been utilized in the six months ended June 30, 2020, relating to reorganization activities across the Company, primarily as part of the factory optimization program as discussed in Note 6. Other Other provisions include €5.4 million (December 31, 2019: €8.3 million) related to employer taxes on the LTIP which become payable on the issuance of shares (see Note 15). An additional provision of €1.6 million was made and €4.2 million has been utilized in the six months ended June 30, 2020.
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Employee benefits |
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Jun. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Employee Benefits [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Employee benefits | Employee benefits The Company operates defined benefit pension plans in Germany, Italy, Sweden and Austria as well as various contribution plans in other countries. The defined benefit pension plans are partially funded in Germany and Austria and unfunded in Sweden and Italy. In addition, an unfunded post-retirement medical plan is operated in Austria. In Germany and Italy, long term service awards are in operation and various other countries provide other employee benefits. There were no changes in the nature of any schemes in the six months ended June 30, 2020. The total net employee benefit obligations as at June 30, 2020 is as follows:
The principal assumptions applied for the valuation at June 30, 2020 were the same as those applied at December 31, 2019, except for the German plans which are the most significant in terms of plan assets and liabilities in the Company. The discount rate applied to the German defined benefits obligations decreased from 1.15% to 1.00%.
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Share based compensation reserve |
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Share Capital, Reserves and Other Equity Interest [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share based compensation reserve | Share based compensation reserve During 2015, the Company established a discretionary share award scheme, the LTIP, which enables the Company’s Compensation Committee to make grants (“Awards”) in the form of rights over ordinary shares, to any Director, Non-Executive Director or employee of the Company. The Compensation Committee currently awards grants to Senior Management, including those that are Directors and Non-Executive Directors. All Awards are to be settled by physical delivery of shares. Director and Senior Management Share Awards As part of its long term incentive initiatives, the Company has awarded 3,314,666 restricted shares to the management team (the “Management Share Awards”) as of the following five award dates.
A revision in the first quarter 2019 to the January 1, 2016, 2017 and 2018 awards schemes occurred, resulting in changes to the EBITDA Performance Target Conditions, benchmark market share price targets and the timing of when the conditions vest. Relevant to the January 1, 2016, 2017 and 2018 awards schemes grant, the vesting of such awards is subject to the following performance conditions: up to one-half of such award will vest if the Company achieves one of a range of benchmark market share price performance targets over a revised four or five year period (the "Share Price Performance Condition") and up to one-half of such award will vest upon the Company achieving one of a range of cumulative EBITDA performance targets over a four-year period (the "EBITDA Performance Condition"). If the Share Price Performance Condition is satisfied, up to 50% of the shares subject to the Share Price Performance Condition will vest in the initial two-year period following the grant and up to 50% of the shares subject to the Share Price Performance Condition will vest over the subsequent two or three-year period following the grant, depending on the award. •For the 2016 award, the initial -year period is through to January 1, 2018 and the subsequent -year period is through to January 1, 2021. •For the 2017 award, the initial -year period is through to January 1, 2019 and the subsequent -year period is through to January 1, 2021. •For the 2018 award, the initial -year period is through to January 1, 2020 and the subsequent -year period is through to January 1, 2023. With respect to each such award, if the respective EBITDA Performance Condition is satisfied, up to 50% of such award subject to the EBITDA Performance Condition will vest on January 1, 2020, 2021 and 2022, respectively, as the case may be. In September 2019, 166,427 restricted share awards were granted as part of the 2019 Management Share Award. The performance period associated with the award began on January 1, 2019. The Share awards will vest on the Company achieving a range of performance conditions including cumulative EBITDA, cumulative net sales, and share price performance measures over a three-year period. One third of the total share award is assigned to each type of performance measure. All shares are subject to a holding period of an additional year and require that the participants to the scheme are still actively employed during the entire four year period, through January 1, 2023. In January 2020, 761,979 restricted share awards were granted as part of the 2020 Management Share Award. The performance period associated with the award began on January 1, 2020. The Share awards will vest on the Company achieving a range of performance conditions including cumulative EBITDA, cumulative net sales, and share price performance measures over a three-year period. The cumulative EBITDA and Cumulative Net Sales tranches of shares are equally weighted, being worth 37.5% of the total award each. The Share Price Tranche is worth 25% of the total award. All shares are subject to a holding period of an additional year and require that the participants to the scheme are still actively employed during the entire four year period, through January 1, 2024. In January 2020, 284,555 restricted shares granted as part of the 2016 Management Share Awards vested as a result of the satisfaction of the applicable Share Price Performance Condition (based on a share price of $22.37), resulting in the issuance of 163,816 ordinary shares to participants in the LTIP (net of 120,739 ordinary shares held back from issue by the Company as settlement towards personal tax liabilities arising on the vested ordinary shares). In February 2020, 1,626,006 restricted shares granted as part of the 2016 Management Share Awards vested as a result of the satisfaction of the applicable Share Price Performance Condition (based on a share price of $19.53), resulting in the issuance of 928,042 ordinary shares to participants in the LTIP (net of 697,964 ordinary shares held back from issue by the Company as settlement towards personal tax liabilities arising on the vested ordinary shares). The stock compensation charge reported within the Consolidated Statement of Profit or Loss for the three and six months ended June 30, 2020 related to the Director and Senior Management Share Awards is €1.2 million and €4.1 million (three and six months ended June 30, 2019: €3.6 million and €6.8 million). The Company calculates the cost of the Management Share Awards based upon their fair value using the Monte Carlo Model, which is considered to be the most appropriate methodology considering the restricted shares only vest once the market performance conditions have been satisfied, as well as expected exercise period and the payment of dividends by the Company. Following the revision to the January 1, 2016, 2017 and 2018 awards schemes, and the additions of the January 1, 2019 and 2020 schemes, the inputs and assumptions underlying the Monte Carlo models for all awards outstanding as of valuation date are as follows:
The expected volatility of the share price inputs above were estimated by referencing selected quoted companies which are considered to exhibit some degree of comparability with the Company, as the Company has only been listed for approximately four years. Based on the revised assessment in the current period of fair value and the number of shares expected to vest, the total fair value in respect of the Restricted Shares are: •2016 award - $28.2 million (€24.7 million) •2017 award - $5.2 million (€4.6 million) •2018 award - $1.6 million (€1.3 million) •2019 award - $1.4 million (€1.2 million) •2020 award - $4.8 million (€4.3 million) Non-Executive Director Restricted Share Awards In accordance with the Board approved independent Non-Executive Director compensation guidelines, each independent Non-Executive Director is granted $100,000 of restricted shares annually on the date of the annual general meeting, valued at the closing market price for such shares on this date. The restricted shares vest on the earlier to occur of the date of the Company’s annual meeting of shareholders or thirteen months from the date of grant. On June 14, 2019 after the Company's annual meeting of shareholders, the current Non-Executive Directors were granted 39,370 restricted stock awards at a share price of $20.32. In July 2019, in conjunction with the resignation of one of our Non-Executive Directors, 2,460 shares from this grant were vested and issued. The Non-Executive Directors restricted share awards identified above vested on June 17, 2020 and 25,791 were issued. Of the total 34,447 number of shares vesting, 8,656 shares were held back from issue by the Company as settlement towards personal tax liabilities arising on the vested shares. On June 17, 2020 after the Company's annual general meeting, the current Non-Executive Directors were granted 32,140 restricted stock awards at a share price of $21.78. The total charge within the Statement of Consolidated Profit or Loss for the three and six months ended June 30, 2020 related to Non-Executive Directors stock compensation awards was €0.2 million and €0.3 million respectively. The total charge within the Statement of Consolidated Profit or Loss for the three and six months ended June 30, 2019 was €0.3 million and €0.5 million respectively. Share based compensation reserve
In many jurisdictions, tax authorities levy taxes on share-based payment transactions with employees that give rise to a personal tax liability for the employee. In some cases, the Company is required to withhold the tax due and to settle it with the tax authority on behalf of the employees. To fulfill this obligation, the terms of the Management Share Awards permit the Company to withhold the number of shares that are equal to the monetary value of the employee’s tax obligation from the total number of shares that otherwise would have been issued to the employee upon vesting. The monetary value of the employee’s tax obligation is recorded as a deduction from Share based compensation reserve for the shares withheld. Founder Preferred Shares Dividend ReserveNomad has issued Founder Preferred Shares to its Founder Entities. Holders of the Founder Preferred Shares are entitled to receive annual dividend amounts subject to certain performance conditions (the “Founder Preferred Shares Annual Dividend Amount”). The Founder Preferred Shares Annual Dividend Amount is structured to provide a dividend based on the future appreciation of the market value of the ordinary shares, thus aligning the interests of the Founders with those of the investors on a long term basis. The Preferred Shares Annual Dividend Amount is determined with reference to the Dividend Determination Period of a financial year, i.e. the last 10 consecutive trading days and calculated as 20% of the increase in the volume weighted average share price of the Company’s ordinary shares across the determination period compared to the highest price previously used in calculating the Founder Preferred Share Annual Dividend Amounts ($16.7538) multiplied by 140,220,619 shares (the “Preferred Share Dividend Equivalent”). The conditions of the Founder Preferred Shares Annual Dividend Amount for 2019 were met and issued on January 2, 2020. The Company issued a share dividend of 6,421,074 ordinary shares calculated as 20% of the increase in the market price of our ordinary shares compared to 2018 dividend price of $16.7538 multiplied by Preferred Share Dividend Equivalent. The Dividend Price used to calculate the Annual Dividend Amount was $21.7289 (calculated based upon the volume weighted average price for the last consecutive trading days of 2019). Accordingly, the balance of the Founder Preferred Shares Dividend Reserve as at June 30, 2020 decreased to €245.5 million (December 31, 2019: €370.1 million). The Founder Preferred Shares Annual Dividend Amount is paid for so long as the Founder Preferred Shares remain outstanding. The Founder Preferred Shares automatically convert on the last day of the seventh full financial year following completion of the acquisition of the Iglo Group or upon a change of control, unless in the case of a change of control, the independent Directors determine otherwise. The amounts used for the purposes of calculating the Founder Preferred Shares Annual Dividend Amount and the Preferred Share Dividend Equivalent are subject to such adjustments for share splits, share dividends and certain other recapitalization events as the Directors in their absolute discretion determine to be fair and reasonable in the event of a consolidation or sub-division of the ordinary shares in issue, as determined in accordance with Nomad’s Memorandum and Articles of Association.
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Share Capital and Capital reserve |
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Share Capital, Reserves and Other Equity Interest [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share Capital and Capital reserve | Share Capital and Capital reserve Ordinary Shares On January 2, 2020, the Company issued a share dividend of 6,421,074 ordinary shares calculated as 20% of the increase in the market price of our ordinary shares compared to 2018 dividend price of $16.7538 multiplied by Preferred Share Dividend Equivalent. The Dividend Price used to calculate the Annual Dividend Amount was $21.7289 (calculated based upon the volume weighted average price for the last consecutive trading days of 2019). On March 13, 2020, the Company announced a share repurchase program to purchase up to an aggregate of $300 million of the Company’s ordinary shares. Acquisitions pursuant to the stock repurchase program may be made from time to time through a combination of open market repurchases, privately negotiated transactions, accelerated share repurchase transactions, and/or other derivative transactions. After the announcement, the Company entered into a series of open-market repurchases. As of June 30, 2020, 5,401,700 ordinary shares at an average price of $16.78, for aggregate gross costs of $90.7 million (€83.4 million) had been repurchased and canceled. Directly attributed transaction costs of €0.1 million were incurred. The share repurchase program is still available for use by the Company. See Note 15 for further information on restricted shares issued as part of the 2016 Management Share Awards. Also see Note 15 for ordinary shares issued in June 2020 to Non-Executive Directors. In May 2020, both former and current Non-Executive Directors were issued 49,196 shares (net of shares withheld for the settlement of taxes), exercising all the remaining initial options outstanding for €0.6 million. The following is the authorized share capital available to the Company: •Unlimited number of Ordinary Shares with $nil nominal value issued at $10.00 per share •Unlimited number of Founder Preferred Shares with $nil nominal value issued at $10.00 per share
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Founder Preferred Shares Dividend Reserve |
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Share Capital, Reserves and Other Equity Interest [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Founder Preferred Shares Dividend Reserve | Share based compensation reserve During 2015, the Company established a discretionary share award scheme, the LTIP, which enables the Company’s Compensation Committee to make grants (“Awards”) in the form of rights over ordinary shares, to any Director, Non-Executive Director or employee of the Company. The Compensation Committee currently awards grants to Senior Management, including those that are Directors and Non-Executive Directors. All Awards are to be settled by physical delivery of shares. Director and Senior Management Share Awards As part of its long term incentive initiatives, the Company has awarded 3,314,666 restricted shares to the management team (the “Management Share Awards”) as of the following five award dates.
A revision in the first quarter 2019 to the January 1, 2016, 2017 and 2018 awards schemes occurred, resulting in changes to the EBITDA Performance Target Conditions, benchmark market share price targets and the timing of when the conditions vest. Relevant to the January 1, 2016, 2017 and 2018 awards schemes grant, the vesting of such awards is subject to the following performance conditions: up to one-half of such award will vest if the Company achieves one of a range of benchmark market share price performance targets over a revised four or five year period (the "Share Price Performance Condition") and up to one-half of such award will vest upon the Company achieving one of a range of cumulative EBITDA performance targets over a four-year period (the "EBITDA Performance Condition"). If the Share Price Performance Condition is satisfied, up to 50% of the shares subject to the Share Price Performance Condition will vest in the initial two-year period following the grant and up to 50% of the shares subject to the Share Price Performance Condition will vest over the subsequent two or three-year period following the grant, depending on the award. •For the 2016 award, the initial -year period is through to January 1, 2018 and the subsequent -year period is through to January 1, 2021. •For the 2017 award, the initial -year period is through to January 1, 2019 and the subsequent -year period is through to January 1, 2021. •For the 2018 award, the initial -year period is through to January 1, 2020 and the subsequent -year period is through to January 1, 2023. With respect to each such award, if the respective EBITDA Performance Condition is satisfied, up to 50% of such award subject to the EBITDA Performance Condition will vest on January 1, 2020, 2021 and 2022, respectively, as the case may be. In September 2019, 166,427 restricted share awards were granted as part of the 2019 Management Share Award. The performance period associated with the award began on January 1, 2019. The Share awards will vest on the Company achieving a range of performance conditions including cumulative EBITDA, cumulative net sales, and share price performance measures over a three-year period. One third of the total share award is assigned to each type of performance measure. All shares are subject to a holding period of an additional year and require that the participants to the scheme are still actively employed during the entire four year period, through January 1, 2023. In January 2020, 761,979 restricted share awards were granted as part of the 2020 Management Share Award. The performance period associated with the award began on January 1, 2020. The Share awards will vest on the Company achieving a range of performance conditions including cumulative EBITDA, cumulative net sales, and share price performance measures over a three-year period. The cumulative EBITDA and Cumulative Net Sales tranches of shares are equally weighted, being worth 37.5% of the total award each. The Share Price Tranche is worth 25% of the total award. All shares are subject to a holding period of an additional year and require that the participants to the scheme are still actively employed during the entire four year period, through January 1, 2024. In January 2020, 284,555 restricted shares granted as part of the 2016 Management Share Awards vested as a result of the satisfaction of the applicable Share Price Performance Condition (based on a share price of $22.37), resulting in the issuance of 163,816 ordinary shares to participants in the LTIP (net of 120,739 ordinary shares held back from issue by the Company as settlement towards personal tax liabilities arising on the vested ordinary shares). In February 2020, 1,626,006 restricted shares granted as part of the 2016 Management Share Awards vested as a result of the satisfaction of the applicable Share Price Performance Condition (based on a share price of $19.53), resulting in the issuance of 928,042 ordinary shares to participants in the LTIP (net of 697,964 ordinary shares held back from issue by the Company as settlement towards personal tax liabilities arising on the vested ordinary shares). The stock compensation charge reported within the Consolidated Statement of Profit or Loss for the three and six months ended June 30, 2020 related to the Director and Senior Management Share Awards is €1.2 million and €4.1 million (three and six months ended June 30, 2019: €3.6 million and €6.8 million). The Company calculates the cost of the Management Share Awards based upon their fair value using the Monte Carlo Model, which is considered to be the most appropriate methodology considering the restricted shares only vest once the market performance conditions have been satisfied, as well as expected exercise period and the payment of dividends by the Company. Following the revision to the January 1, 2016, 2017 and 2018 awards schemes, and the additions of the January 1, 2019 and 2020 schemes, the inputs and assumptions underlying the Monte Carlo models for all awards outstanding as of valuation date are as follows:
The expected volatility of the share price inputs above were estimated by referencing selected quoted companies which are considered to exhibit some degree of comparability with the Company, as the Company has only been listed for approximately four years. Based on the revised assessment in the current period of fair value and the number of shares expected to vest, the total fair value in respect of the Restricted Shares are: •2016 award - $28.2 million (€24.7 million) •2017 award - $5.2 million (€4.6 million) •2018 award - $1.6 million (€1.3 million) •2019 award - $1.4 million (€1.2 million) •2020 award - $4.8 million (€4.3 million) Non-Executive Director Restricted Share Awards In accordance with the Board approved independent Non-Executive Director compensation guidelines, each independent Non-Executive Director is granted $100,000 of restricted shares annually on the date of the annual general meeting, valued at the closing market price for such shares on this date. The restricted shares vest on the earlier to occur of the date of the Company’s annual meeting of shareholders or thirteen months from the date of grant. On June 14, 2019 after the Company's annual meeting of shareholders, the current Non-Executive Directors were granted 39,370 restricted stock awards at a share price of $20.32. In July 2019, in conjunction with the resignation of one of our Non-Executive Directors, 2,460 shares from this grant were vested and issued. The Non-Executive Directors restricted share awards identified above vested on June 17, 2020 and 25,791 were issued. Of the total 34,447 number of shares vesting, 8,656 shares were held back from issue by the Company as settlement towards personal tax liabilities arising on the vested shares. On June 17, 2020 after the Company's annual general meeting, the current Non-Executive Directors were granted 32,140 restricted stock awards at a share price of $21.78. The total charge within the Statement of Consolidated Profit or Loss for the three and six months ended June 30, 2020 related to Non-Executive Directors stock compensation awards was €0.2 million and €0.3 million respectively. The total charge within the Statement of Consolidated Profit or Loss for the three and six months ended June 30, 2019 was €0.3 million and €0.5 million respectively. Share based compensation reserve
In many jurisdictions, tax authorities levy taxes on share-based payment transactions with employees that give rise to a personal tax liability for the employee. In some cases, the Company is required to withhold the tax due and to settle it with the tax authority on behalf of the employees. To fulfill this obligation, the terms of the Management Share Awards permit the Company to withhold the number of shares that are equal to the monetary value of the employee’s tax obligation from the total number of shares that otherwise would have been issued to the employee upon vesting. The monetary value of the employee’s tax obligation is recorded as a deduction from Share based compensation reserve for the shares withheld. Founder Preferred Shares Dividend ReserveNomad has issued Founder Preferred Shares to its Founder Entities. Holders of the Founder Preferred Shares are entitled to receive annual dividend amounts subject to certain performance conditions (the “Founder Preferred Shares Annual Dividend Amount”). The Founder Preferred Shares Annual Dividend Amount is structured to provide a dividend based on the future appreciation of the market value of the ordinary shares, thus aligning the interests of the Founders with those of the investors on a long term basis. The Preferred Shares Annual Dividend Amount is determined with reference to the Dividend Determination Period of a financial year, i.e. the last 10 consecutive trading days and calculated as 20% of the increase in the volume weighted average share price of the Company’s ordinary shares across the determination period compared to the highest price previously used in calculating the Founder Preferred Share Annual Dividend Amounts ($16.7538) multiplied by 140,220,619 shares (the “Preferred Share Dividend Equivalent”). The conditions of the Founder Preferred Shares Annual Dividend Amount for 2019 were met and issued on January 2, 2020. The Company issued a share dividend of 6,421,074 ordinary shares calculated as 20% of the increase in the market price of our ordinary shares compared to 2018 dividend price of $16.7538 multiplied by Preferred Share Dividend Equivalent. The Dividend Price used to calculate the Annual Dividend Amount was $21.7289 (calculated based upon the volume weighted average price for the last consecutive trading days of 2019). Accordingly, the balance of the Founder Preferred Shares Dividend Reserve as at June 30, 2020 decreased to €245.5 million (December 31, 2019: €370.1 million). The Founder Preferred Shares Annual Dividend Amount is paid for so long as the Founder Preferred Shares remain outstanding. The Founder Preferred Shares automatically convert on the last day of the seventh full financial year following completion of the acquisition of the Iglo Group or upon a change of control, unless in the case of a change of control, the independent Directors determine otherwise. The amounts used for the purposes of calculating the Founder Preferred Shares Annual Dividend Amount and the Preferred Share Dividend Equivalent are subject to such adjustments for share splits, share dividends and certain other recapitalization events as the Directors in their absolute discretion determine to be fair and reasonable in the event of a consolidation or sub-division of the ordinary shares in issue, as determined in accordance with Nomad’s Memorandum and Articles of Association.
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Related parties |
6 Months Ended |
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Jun. 30, 2020 | |
Related Party [Abstract] | |
Related parties | Related parties Mariposa Capital, LLC, an affiliate of Sir Martin Franklin, and TOMS Capital LLC, an affiliate of Mr. Gottesman, perform advisory services on behalf of the Company. The total fees and expenses incurred by them in the course of their duties for the three and six months ended June 30, 2020 were €0.5 million and €1.0 million respectively (three and six months ended June 30, 2019: €0.7 million and €1.2 million respectively). In addition to the fees above, as discussed in Note 17, the conditions of the Founder Preferred Shares Annual Dividend Amount for 2019 were met and a share dividend of 6,421,074 ordinary shares was issued on January 2, 2020. Key management personnel comprise the Directors and Executive Officers. The Executive Officers continue to be remunerated for their services to the Company through their employment contracts. Non-executive Directors continue to receive fees for their services as board members and to certain committees and are settled through payroll. Director fees are payable quarterly in arrears. Total non-executive Director fees and expenses for the three and six months ended June 30, 2020 was €0.1 million and €0.2 million (three and six months ended June 30, 2019: €0.1 million and €0.2 million). In addition, certain non-executive Directors received grants under the LTIP as discussed in Note 15. The Company has entered into an agreement with a working capital solutions specialist to facilitate a program that would provide our suppliers with the ability to receive advance payments from a third party credit institution as part of our ordinary course of business payables, in exchange for a discounted invoice amount. The working capital solutions specialist is owned in part by affiliates of JRJ Group (of which one of our non-executive directors, Mr. Isaacs, is a founding partner) and TOMS Capital LLC (of which Mr. Gottesman is the founder and managing partner). The amounts that are expected to be paid by the Company to the working capital solutions specialist are not considered to be material to either party. Ongoing fees associated with this service that are expected to be received by the working capital solutions specialist come from our suppliers utilizing the service.
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Subsequent events after the Statement of Financial Position date |
6 Months Ended |
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Jun. 30, 2020 | |
Events After Reporting Period [Abstract] | |
Subsequent events after the Statement of Financial Position date | Subsequent events after the Statement of Financial Position dateOn August 6, 2020, the Company announced its intention to commence a “modified Dutch Auction” tender offer to purchase with cash up to $500 million of its ordinary shares, at a range expected to be between $23.00 and $25.50 per share as soon as reasonably practicable. |
Basis of preparation (Policies) |
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Jun. 30, 2020 | |
Common Domain Members [Abstract] | |
Basis of Presentation | The accounting policies used by management in preparing these condensed consolidated financial statements were the same as those that applied to the consolidated financial statements as at and for the year ended December 31, 2019, except taxes on income. These are accrued based on management's estimate of the average annual effective income tax rate on profits excluding exceptional items, applied to the pre-tax income excluding exceptional items of the period. It also reflects the tax impact of exceptional items accounted for in the period. On March 11, 2020, the World Health Organization officially declared COVID-19, the disease caused by novel coronavirus, a pandemic. The Directors are working with Management to monitor the evolution of the pandemic, including how it may affect the markets and the general population and also the potential financial impact. The final impact of the pandemic on the Company is hard to predict, however, the Directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Thus, they continue to adopt the going concern basis in preparing the consolidated interim financial statements.
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Accounting estimates and judgments (Policies) |
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Jun. 30, 2020 | |
Accounting Policies, Changes in Accounting Estimates and Errors [Abstract] | |
Discounts and trade promotions | Discounts and trade promotions Discounts given by the Company include rebates, price reductions and incentives given to customers, promotional couponing and trade communication costs. Each customer has a unique agreement that is governed by a combination of observable and unobservable performance conditions. Trade promotions comprise of amounts paid to retailers for programs designed to promote Company products and include pricing allowances, merchandising funds and customer coupons, which are offered through various programs to customers and consumers. The ultimate costs of these programs can depend upon retailer performance and is the subject of significant management estimates. The estimated ultimate cost of the program is based upon the programs offered, timing of those offers, estimated retailer performance based on history, management’s experience and current economic trends. At each financial year end date, any discount or trade promotion expense incurred but not yet invoiced is estimated and accrued for. In certain cases, the estimate for discounts and trade promotions requires the use of forecast information for future trading periods and therefore a degree of estimation uncertainty exists. These estimates are sensitive to variances between actual results and forecasts. The estimate is based on accumulated experience and the principle that revenue is only recognized to the extent that it is highly probable that a significant reversal will not occur. The accruals are presented as ‘trade terms’ and offset against trade receivables due to the same customer, or as trade term payables where there is no receivable to be offset. Management use judgment when considering when accruals can be released.
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Business Combinations | Business combinations The Company is required to recognize separately, at the acquisition date, the identifiable assets, liabilities and contingent liabilities acquired or assumed in a business combination at their fair values. This involves an estimate of fair value of all assets and liabilities acquired. Such estimates are based on valuation techniques, which require considerable estimation in forecasting future cash flows and developing other assumptions. These estimates are based on information available on the acquisition date and assumptions that have been deemed reasonable by management. The following estimates and assumptions can materially affect our financial position and profit: •The fair value and expected useful economic life of acquired intangible and tangible assets that are subject to depreciation or amortization in future periods. •Future changes to the assumptions over forecast future profitability used in estimating the value of intangible assets and goodwill may result in additional expenses or income. •Future changes to the assumptions used in estimating the value of uncertain tax positions may result in additional expenses or income.
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Carrying value of goodwill and brands | Carrying value of goodwill and brandsDetermining whether goodwill and brands are impaired requires an estimation of the value in use of the cash generating unit to which goodwill and brands have been allocated. The value in use calculation requires the entity to estimate the future cash flows expected to arise from the cash generating unit and a suitable discount rate in order to calculate present value. A value in use calculation is carried out on an annual basis unless the Company identifies triggers that would indicate that the carrying value of these assets is impaired. |
Employee benefit obligation | Employee benefit obligationThe Group operates a number of defined benefit pension schemes and post-employment benefit schemes which are valued by estimating the amount of future benefit that employees have earned in return for their service in the current and prior periods. Each Scheme has an actuarial valuation performed and is dependent on a series of assumptions. See Note 14 for details of material changes, if any, to assumptions since December 31, 2019. |
Uncertain tax positions | Uncertain tax positionsWhere tax exposures can be quantified, an accrual for uncertain tax positions is made based on best estimates and judgments with regard to the amounts expected to be paid to the relevant tax authority. Given the inherent uncertainties in assessing the outcomes of these exposures (which can sometimes be binary in nature), the Company could in future periods experience adjustments to these accruals. The factors considered include the progress of discussions with the tax authorities and the level of documentary support for historical positions taken by previous owners. |
Fair value of derivative financial instruments | Fair value of derivative financial instruments.Note 12 includes details of the fair value of the derivative instruments that the Company holds at the end of each financial period. Management has estimated the fair value of these instruments by using valuations based on discounted cash flow calculations. |
Share-based payments | Share-based paymentsAt the end of each reporting period, the Company, in estimating its share-based payment charge, assesses and revises its estimates of the number of interests that are expected to vest based on the non-market vesting conditions. Note 15 contains details of these assumptions and of the valuation model used. |
Impairment of property, plant and equipment | Impairment of property, plant and equipmentItems of property, plant and equipment that are subject to depreciation are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognized for the amount by which the assets carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset's fair value less costs to dispose and its value in use. |
Segment reporting (Tables) |
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Operating Segments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment As Adjusted EBITDA | The Chief Operating Decision Maker (“CODM”) of the Company considers there to be one reporting and operating segment, being “Frozen Foods” and is reflected in the segment presentation below for the periods presented.
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External Revenue by Geography | External revenue by geography
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Exceptional items (Tables) |
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Disclosure Of Detailed Information For Exceptional Items Explanatory [Table Text Block] | Exceptional items
We do not consider these items to be indicative of our ongoing operating performance. Following the acquisition of the Findus Group in November 2015, the Company initiated a substantial integration project which has now completed. Expenses of €1.2 million in the three months ended June 30, 2019 and €3.0 million in the six months ended June 30, 2019 relate to the roll-out of the Nomad ERP system. The charge for the release of indemnification assets relates to the partial release of shares held in escrow associated with the acquisition of the Findus Group as discussed in Note 11. With the uncertainty of the United Kingdom exiting the European Union, commonly referred to as Brexit, we are making preparations for the potential adverse impact to our supply chain, such as tariffs and delays at ports of entry and departure. Expenses of €0.2 million have been incurred in the three months ended June 30, 2020 (2019: nil) and €0.4 million for the six months ended June 30, 2020 (2019: nil). Supply chain reconfiguration relates to activities associated with the closure of the Bjuv manufacturing facility in Sweden which ceased production in 2017. The income of €2.3 million in the three months ended June 30, 2019 and €3.6 million in the six months ended June 30, 2019 arose from the sale of property at this location. Following the acquisition of the Goodfella’s pizza business in April 2018 and the Aunt Bessie's business in July 2018, the Company initiated an integration project. Expenses of €1.0 million have been incurred in the three months ended June 30, 2020 (2019: €2.2 million) and €3.0 million for the six months ended June 30, 2020 (2019: €4.0 million). In 2018, the Company initiated a three-year factory optimization program. The focus of the program is to develop a new suite of standard manufacturing and supply chain processes, that will provide a single network of optimized factories. The program is expected to provide a number of benefits, including an optimized supply chain infrastructure, benefits derived from the implementation of a standardized global manufacturing and planning processes, and an increased level of sustainable performance improvement. Expenses of €4.1 million have been incurred in the three months ended June 30, 2020 (2019: €0.5 million) and €4.7 million for the six months ended June 30, 2020 (2019: €0.8 million). Net income of €1.1 million was recognized in the three and six months ended June 30, 2020 in relation to the settlement of legacy matters. The tax impact of the exceptional items for the three months ended June 30, 2020 amounted to a credit of €1.1 million (2019: €0.2 million) and a credit of €1.6 million for the six months ended June 30, 2020 (2019: €0.7 million). Included in the Condensed Consolidated Interim Statements of Cash Flows for the six months ended June 30, 2020 is €2.3 million (2019: €6.5 million) of cash outflows relating to exceptional items. This includes cash flows related to the above items in addition to the cash impact of the settlement of provisions brought forward from previous accounting periods.
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Finance income and costs (Tables) |
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Schedule of Finance income and costs |
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Earnings per share (Tables) |
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Schedule of Earnings per Share |
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Schedule of Diluted Earnings per Share |
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Cash and cash equivalents (Tables) |
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Summary of Cash and Cash Equivalents |
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Indemnification assets (Tables) |
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Business Combinations1 [Abstract] | |||||||||||||||||||||||||||||||
Summary of Indemnification Assets |
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Financial instruments (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financial Instruments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure of Financial Assets |
Trade receivables disclosed in the table above are net of contract liabilities related to discounts and trade marketing expenses of €260.5 million. Loans and borrowings includes €107.9 million relating to lease liabilities and are stated gross of capitalized deferred borrowing costs. The Company has entered into facilities with third-party banks in which the Company may sell qualifying trade debtors on a non-recourse basis. Under the terms of the agreements, the Company has transferred substantially all the credit risks and control of the receivables, which are subject to this agreement. There were no derecognized trade receivables at the period end (December 31, 2019: nil). The Company has initiated the setup of Supply Chain Financing (“SCF”) arrangements for its suppliers. The principal purpose of these arrangements is to provide the supplier with the option to access liquidity earlier through the sale of its receivables due from the Company to a bank or other financial institution prior to their due date. Management has determined that the Company’s payables to these suppliers have neither been extinguished nor have the liabilities been significantly modified by these arrangements. The value of amounts payable, invoice due dates and other terms and conditions applicable, from the Company’s perspective, remain unaltered, with only the ultimate payee being changed. At June 30, 2020, the value of amounts payable under the SCF program was nil (December 31, 2019: nil). The cash outflows in respect of these arrangements will be recognized within operating cash flows.
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Disclosure of Financial Liabilities |
Trade receivables disclosed in the table above are net of contract liabilities related to discounts and trade marketing expenses of €260.5 million. Loans and borrowings includes €107.9 million relating to lease liabilities and are stated gross of capitalized deferred borrowing costs. The Company has entered into facilities with third-party banks in which the Company may sell qualifying trade debtors on a non-recourse basis. Under the terms of the agreements, the Company has transferred substantially all the credit risks and control of the receivables, which are subject to this agreement. There were no derecognized trade receivables at the period end (December 31, 2019: nil). The Company has initiated the setup of Supply Chain Financing (“SCF”) arrangements for its suppliers. The principal purpose of these arrangements is to provide the supplier with the option to access liquidity earlier through the sale of its receivables due from the Company to a bank or other financial institution prior to their due date. Management has determined that the Company’s payables to these suppliers have neither been extinguished nor have the liabilities been significantly modified by these arrangements. The value of amounts payable, invoice due dates and other terms and conditions applicable, from the Company’s perspective, remain unaltered, with only the ultimate payee being changed. At June 30, 2020, the value of amounts payable under the SCF program was nil (December 31, 2019: nil). The cash outflows in respect of these arrangements will be recognized within operating cash flows.
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Provisions (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Provisions, Contingent Liabilities and Contingent Assets [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Provisions |
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Employee benefits (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Employee Benefits [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Net Employee Benefit Obligations | The total net employee benefit obligations as at June 30, 2020 is as follows:
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Share based compensation reserve (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share Capital, Reserves and Other Equity Interest [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Management Share Awards | As part of its long term incentive initiatives, the Company has awarded 3,314,666 restricted shares to the management team (the “Management Share Awards”) as of the following five award dates.
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Summary of Management Share Award Inputs and Assumptions | Following the revision to the January 1, 2016, 2017 and 2018 awards schemes, and the additions of the January 1, 2019 and 2020 schemes, the inputs and assumptions underlying the Monte Carlo models for all awards outstanding as of valuation date are as follows:
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Schedule of Reserves within Equity | Share based compensation reserve
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Share Capital and Capital reserve (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share Capital, Reserves and Other Equity Interest [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Share Capital and Capital Reserve |
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General information (Details) |
Jun. 30, 2020
country
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General Information About Financial Statements [Abstract] | |
Number of countries in which entity operates | 17 |
Acquisitions (Details) - EUR (€) € in Millions |
3 Months Ended | 6 Months Ended | |||
---|---|---|---|---|---|
Jun. 30, 2020 |
Jun. 30, 2019 |
Jun. 30, 2020 |
Jun. 30, 2019 |
Mar. 30, 2020 |
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Disclosure of detailed information about business combination [line items] | |||||
Acquisition related costs | € 0.2 | € 0.3 | € 1.0 | € 0.3 | |
Toppfrys AB | |||||
Disclosure of detailed information about business combination [line items] | |||||
Percentage of voting equity interests acquired | 19.00% | ||||
Proportion of voting rights held in subsidiary | 100.00% | ||||
Consideration transferred | € 1.0 |
Segment reporting - Segment as Adjusted EBITDA (Details) - EUR (€) € in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2020 |
Jun. 30, 2019 |
Jun. 30, 2020 |
Jun. 30, 2019 |
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Disclosure of operating segments [line items] | ||||
Profit | € 62.6 | € 46.2 | € 110.0 | € 68.5 |
Taxation | 16.4 | 12.6 | 33.8 | 30.2 |
Net financing costs | 16.5 | 15.3 | 28.5 | 30.1 |
Depreciation and amortisation expense | 16.9 | 16.7 | 34.7 | 33.3 |
EBITDA | 112.4 | 90.8 | 207.0 | 162.1 |
Exceptional items | 4.2 | 1.6 | 24.8 | 48.2 |
Material reconciling items | ||||
Disclosure of operating segments [line items] | ||||
Exceptional items | 4.2 | 1.6 | 24.8 | 48.2 |
Other add-backs | 2.2 | 5.8 | 6.9 | 10.0 |
Adjusted EBITDA | € 118.8 | € 98.2 | € 238.7 | € 220.3 |
Segment reporting - Additional Information (Details) - EUR (€) € in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2020 |
Jun. 30, 2019 |
Jun. 30, 2020 |
Jun. 30, 2019 |
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Operating Segments [Abstract] | ||||
Adjustments for share based payments including employer tax | € 2.0 | € 5.5 | € 5.9 | € 9.7 |
Acquisition related costs | 0.2 | 0.3 | 1.0 | 0.3 |
Common [Table] | ||||
Adjustments for share based payments including employer tax | 2.0 | 5.5 | 5.9 | 9.7 |
Acquisition related costs | € 0.2 | € 0.3 | € 1.0 | € 0.3 |
Exceptional items - Additional Information (Details) - EUR (€) € in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2020 |
Jun. 30, 2019 |
Jun. 30, 2020 |
Jun. 30, 2019 |
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Analysis of income and expense [abstract] | ||||
Findus Group integration costs | € 0.0 | € 1.2 | € 0.0 | € 3.0 |
Brexit Costs - Exceptional Items | 0.2 | 0.0 | 0.4 | 0.0 |
Supply chain reconfiguration | 0.0 | (2.3) | 0.0 | (3.6) |
Goodfella's Pizza & Aunt Bessie's integration costs | 1.0 | 2.2 | 3.0 | 4.0 |
Factory optimization | 4.1 | 0.5 | 4.7 | 0.8 |
Exceptional Items, Tax Expense (Income), Continuing Operations | 1.1 | (0.2) | 1.6 | 0.7 |
Cash flows relating to exceptional items | (2.3) | (6.5) | ||
Common [Table] | ||||
Exceptional Items, Tax Expense (Income), Continuing Operations | 1.1 | (0.2) | 1.6 | 0.7 |
Findus Group integration costs | 0.0 | 1.2 | 0.0 | 3.0 |
Brexit Costs - Exceptional Items | 0.2 | 0.0 | 0.4 | 0.0 |
Supply chain reconfiguration | € 0.0 | € (2.3) | € 0.0 | € (3.6) |
Finance income and costs (Details) - EUR (€) € in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2020 |
Jun. 30, 2019 |
Jun. 30, 2020 |
Jun. 30, 2019 |
|
Analysis of income and expense [abstract] | ||||
Interest income | € 0.2 | € 1.0 | € 0.5 | € 1.8 |
Net foreign exchange gains on translation of financial assets and liabilities | 0.0 | 0.1 | 4.7 | 0.9 |
Total finance income | 0.2 | 1.1 | 5.2 | 2.7 |
Interest expense | (14.4) | (14.3) | (29.0) | (28.5) |
Net Foreign Exchange Losses On Financial Assets And Liabilities | 0.7 | 0.0 | 0.0 | 0.0 |
Net pension interest costs | (0.7) | (1.0) | (1.4) | (1.9) |
Amortization of borrowing costs | (0.5) | (0.5) | (1.0) | (1.0) |
Net fair value losses on derivatives held for trading | (0.4) | (0.6) | (2.3) | (1.4) |
Total finance costs | (16.7) | (16.4) | (33.7) | (32.8) |
Net financing costs | € 16.5 | € 15.3 | € 28.5 | € 30.1 |
Taxation (Details) - EUR (€) € in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2020 |
Jun. 30, 2019 |
Jun. 30, 2020 |
Jun. 30, 2019 |
|
Income Taxes [Abstract] | ||||
Tax expense | € 16.4 | € 12.6 | € 33.8 | € 30.2 |
Earnings per share - Computation (Details) - EUR (€) € / shares in Units, € in Millions, shares in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2020 |
Jun. 30, 2019 |
Jun. 30, 2020 |
Jun. 30, 2019 |
|
Basic earnings per share | ||||
Profit for the period attributable to owners of the parent | € 62.6 | € 46.4 | € 110.1 | € 68.8 |
Weighted average Ordinary Shares and Founder Preferred Shares (basic) (in shares) | 198.4 | 196.4 | 200.7 | 187.5 |
Basic earnings per share (in euros per share) | € 0.32 | € 0.24 | € 0.55 | € 0.37 |
Diluted earnings per share | ||||
Profit for the period attributable to owners of the parent | € 62.6 | € 46.4 | € 110.1 | € 68.8 |
Weighted average Ordinary Shares and Founder Preferred Shares (diluted) (in shares) | 198.4 | 196.4 | 200.7 | 187.5 |
Diluted earnings per share (in euros per share) | € 0.32 | € 0.24 | € 0.55 | € 0.37 |
Earnings per share - Additional Information (Details) |
3 Months Ended | 6 Months Ended | |
---|---|---|---|
Jun. 14, 2019 |
Mar. 31, 2020 |
Jun. 30, 2020
shares
|
|
Earnings per share [line items] | |||
Preference shares, dividend payment terms, weighted average share price, minimum term required | 10 days | 10 days | |
Management Award 2017 | |||
Earnings per share [line items] | |||
Dilutive effect of restricted share awards on number of ordinary shares (in shares) | 85,315 | ||
Non-Executive Director | |||
Earnings per share [line items] | |||
Number of other equity instruments exercised or vested in share-based payment arrangement | 39,370 | 25,791 | |
Key management personnel of entity or parent | |||
Earnings per share [line items] | |||
Number of other equity instruments exercised or vested in share-based payment arrangement | 32,140 |
Cash and cash equivalents (Details) - EUR (€) € in Millions |
Jun. 30, 2020 |
Dec. 31, 2019 |
Jun. 30, 2019 |
Dec. 31, 2018 |
---|---|---|---|---|
Subclassifications of assets, liabilities and equities [abstract] | ||||
Cash and cash equivalents | € 935.2 | € 826.0 | ||
Restricted cash | 0.1 | 0.1 | ||
Cash and cash equivalents | 935.3 | 826.1 | € 719.8 | € 327.6 |
Bank overdraft | 0.0 | (1.3) | ||
Cash and cash equivalents per Statement of Cash Flows | € 935.3 | € 824.8 |
Indemnification assets (Details) - EUR (€) € in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2020 |
Jun. 30, 2019 |
Jun. 30, 2020 |
Jun. 30, 2019 |
|
Business Combinations1 [Abstract] | ||||
Beginning balance | € 35.4 | |||
Release of indemnified provision | € 0.0 | € 0.0 | (17.8) | € (44.0) |
Ending balance | € 17.6 | € 17.6 |
Provisions - Additional Information (Details) - EUR (€) € in Millions |
6 Months Ended | |
---|---|---|
Jun. 30, 2020 |
Dec. 31, 2019 |
|
Disclosure of other provisions [line items] | ||
Other provisions | € 50.1 | € 46.8 |
Provision used, other provisions | 8.3 | |
Increase in provision related to interest on corporate tax and VAT | 5.3 | |
Restructuring | ||
Disclosure of other provisions [line items] | ||
Other provisions | € 9.5 | 7.4 |
Estimated completion of activities | 12 months | |
Provision used, other provisions | € 2.5 | |
Provision for employer taxes on share based payments | ||
Disclosure of other provisions [line items] | ||
Other provisions | 5.4 | € 8.3 |
Provision used, other provisions | 4.2 | |
Increase (decrease) in other provisions | € 1.6 |
Employee Benefits (Details) - EUR (€) € in Millions |
6 Months Ended | |
---|---|---|
Jun. 30, 2020 |
Dec. 31, 2019 |
|
Employee Benefits [Abstract] | ||
Net defined benefit liability (asset) at beginning of period | € 237.5 | |
Service cost | 3.2 | |
Net interest expense | 1.4 | |
Actuarial losses on pension scheme valuations | 8.5 | |
Benefits paid | (3.1) | |
Foreign exchange differences on translation | (0.4) | |
Net defined benefit liability (asset) at end of period | € 247.1 | |
Germany | ||
Disclosure of defined benefit plans [line items] | ||
Actuarial assumption of discount rates | 1.00% | 1.15% |
Share Capital and Capital reserve - Schedule (Details) - EUR (€) € in Millions |
Jun. 30, 2020 |
Dec. 31, 2019 |
---|---|---|
Disclosure of classes of share capital [line items] | ||
Total share capital and capital reserve | € 2,170.5 | € 2,120.3 |
Listing and share transaction costs | (25.0) | (24.9) |
Total net share capital and capital reserve | 2,145.5 | 2,095.4 |
Ordinary shares | ||
Disclosure of classes of share capital [line items] | ||
Total share capital and capital reserve | 2,159.9 | 2,109.7 |
Founder Preferred shares | ||
Disclosure of classes of share capital [line items] | ||
Total share capital and capital reserve | € 10.6 | € 10.6 |
Issued Capital and Capital Reserve | Ordinary shares | ||
Disclosure of classes of share capital [line items] | ||
Issued and fully paid (in shares) | 196,729,176 | 194,542,957 |
Issued Capital and Capital Reserve | Founder Preferred shares | ||
Disclosure of classes of share capital [line items] | ||
Issued and fully paid (in shares) | 1,500,000 | 1,500,000 |
Related parties (Details) - EUR (€) € in Millions |
3 Months Ended | 6 Months Ended | |||
---|---|---|---|---|---|
Jan. 02, 2020 |
Jun. 30, 2020 |
Jun. 30, 2019 |
Jun. 30, 2020 |
Jun. 30, 2019 |
|
Non-Executive Director | |||||
Disclosure of transactions between related parties [line items] | |||||
Fees and expenses | € 0.1 | € 0.1 | € 0.2 | € 0.2 | |
Ordinary shares | Founder Entities | |||||
Disclosure of transactions between related parties [line items] | |||||
Founder preferred shares annual dividend amount (in shares) | 6,421,074 | ||||
Mariposa Capital and TOMS Capital | Affiliate of Founder Entities | |||||
Disclosure of transactions between related parties [line items] | |||||
Fees and expenses | € 0.5 | € 0.7 | € 1.0 | € 1.2 |
Subsequent events after the Statement of Financial Position date (Details) - USD ($) $ / shares in Units, $ in Millions |
6 Months Ended | |
---|---|---|
Aug. 06, 2020 |
Jun. 30, 2020 |
|
Events after Reporting Period [Line Items] | ||
Share repurchase programme | $ 500 | $ 300 |
Subsequent events after the Statement of Financial Position date | Subsequent events after the Statement of Financial Position dateOn August 6, 2020, the Company announced its intention to commence a “modified Dutch Auction” tender offer to purchase with cash up to $500 million of its ordinary shares, at a range expected to be between $23.00 and $25.50 per share as soon as reasonably practicable. | |
Minimum [Member] | ||
Events after Reporting Period [Line Items] | ||
Shares issued, price per share (in dollars per share) | $ 23.00 | |
Maximum [Member] | ||
Events after Reporting Period [Line Items] | ||
Shares issued, price per share (in dollars per share) | $ 25.50 |
Label | Element | Value |
---|---|---|
Treasury shares [member] | ||
Shares Issued, Price Per Share1 | nomd_SharesIssuedPricePerShare1 | $ 16.78 |
Increase (decrease) in number of shares outstanding | ifrs-full_IncreaseDecreaseInNumberOfSharesOutstanding | (5,401,700) |
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