Core Viewpoint - Nomad Foods Limited has announced the appointment of Dominic Brisby as the new Executive President and CEO-Elect, effective November 3, 2025, succeeding Stéfan Descheemaeker, who will retire on January 1, 2026 [1][3]. Group 1: Leadership Transition - Dominic Brisby will work alongside current CEO Stéfan Descheemaeker during a transition period until Descheemaeker's retirement [1]. - Descheemaeker has been CEO since the company's founding in 2015 and will continue as a non-executive Director after his retirement [3]. - The transition is part of a planned succession process, with the Board expressing confidence in Brisby's leadership capabilities [4]. Group 2: Dominic Brisby's Background - Brisby has a strong track record in the consumer goods industry, having served as President of North America and Europe at Flora Food Group, where he achieved significant market share growth [2]. - His previous role at Imperial Brands involved reversing market share declines and implementing cost-saving measures that resulted in record profit growth in the U.S. market [2]. Group 3: Company Performance and Future Outlook - Under Descheemaeker's leadership, Nomad Foods has experienced nine consecutive years of revenue and Adjusted EBITDA growth through 2024, with Adjusted EPS expected to have approximately doubled from 2016 to 2025 [3]. - The company is recognized as Europe's leading frozen food business, with a portfolio of iconic brands that align with current consumer trends [5]. - Brisby expressed enthusiasm for unlocking the company's growth potential and delivering attractive returns to stakeholders, emphasizing alignment with trends in nutrition, convenience, value, and sustainability [4].

Company Overview - Nomad Foods is a leader in the frozen food category in Europe, with well-known brands such as Birds Eye, iglo, and Findus, as well as regional brands like Ledo and Frikom in Serbia and Croatia, and Goodfella's pizza in the U.K. [2] Financial Performance - The company has achieved consistent growth over the past 9 years, increasing sales, EBITDA, and EPS annually, although it did not achieve this for the 10th consecutive year, which is a point of frustration for the management [3]

Financial Data and Key Metrics Changes - The company has experienced nine consecutive years of growth in sales, EBITDA, and EPS, but this year marks a disappointing performance [4][5][13] - The company is targeting a 1% to 3% CAGR in EBITDA over the next three years, with a focus on improving the quality of earnings and reducing exceptional items [37][39] Business Line Data and Key Metrics Changes - The company has seen stabilization in volume market share and growth in volume share in the frozen food category, despite a decline in the overall category growth due to unusual weather conditions [8][34] - The ice cream business has faced challenges, particularly in July and August, due to unrest in Serbia affecting out-of-home sales [36][64] Market Data and Key Metrics Changes - The frozen food category has shown resilience, with growth over the last ten years, although recent months have seen a decline linked to weather conditions [34][35] - The company has reaffirmed its guidance for 2025, indicating confidence in future performance despite recent challenges [65] Company Strategy and Development Direction - The company is focusing on a "Must Win Battles" strategy to concentrate on key markets where it holds significant market share [7] - A new master brand advertising campaign is being rolled out to enhance brand visibility and efficiency in media spending [18][47] - The company plans to increase its productivity program by 25%, targeting €200 million in savings over the next three years, primarily in supply chain and overheads [39][40] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the challenges faced this year, including inflation and supply chain issues, but emphasizes the importance of learning from these experiences to strengthen future performance [6][10][13] - The company believes there are significant growth opportunities in the frozen food category, particularly in markets with lower penetration compared to the U.S. [15][16] Other Important Information - The company is committed to innovation, with plans to increase the percentage of renovated products and introduce new offerings in the ready meals category [21][23] - The foodservice segment, which accounts for around 8% of the business, is expected to grow, particularly in the Nordics and Southern Europe [29][32] Q&A Session Summary Question: Why has the company lowered its long-term growth targets? - Management indicated that the previous targets were too ambitious given the volatile environment and emphasized the need for a larger savings program to create space for reinvestment [53][55] Question: Are the targeted cost savings realistic? - Management clarified that the $200 million savings target is an increase from previous savings and is essential for maintaining competitiveness and reinvesting in product quality [60][62] Question: How does the company plan to manage pricing and market share? - Management explained that they have developed a revenue growth management tool to make more informed pricing decisions by category and country, allowing for better management of market share [71] Question: What is the outlook for capital allocation moving forward? - Management highlighted that the company has been active in share buybacks and dividends, and will continue to evaluate capital allocation based on current valuations [72]

Financial Data and Key Metrics Changes - The company has experienced a decline in performance this year, breaking a nine-year streak of increasing sales, EBITDA, and EPS [4][5][13] - The company is targeting a 1% to 3% CAGR for EBITDA over the next three years, with a focus on improving the quality of earnings and reducing exceptional items [39][50] Business Line Data and Key Metrics Changes - The frozen food category remains strong, with the company maintaining a leading position in Europe, but has faced challenges due to weather conditions impacting sales [2][36] - The company is focusing on innovation and renovation, with plans to accelerate product launches in key categories like fish fingers and pizza [11][21] Market Data and Key Metrics Changes - The frozen food category has shown growth over the last decade, but recent unusual weather patterns have led to a decline in growth numbers [36][37] - The company has seen a stabilization of value share and growth in volume share in the second quarter of 2025, despite earlier declines [36] Company Strategy and Development Direction - The company is implementing a €200 million productivity program over the next three years, focusing on supply chain efficiencies and overhead reductions [41][46] - The strategy includes a significant emphasis on brand investment, product quality, and innovation to maintain competitive positioning in the healthy food category [41][49] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the challenges faced this year, including inflation and supply chain issues, but remains optimistic about future growth opportunities in the frozen food category [6][13] - The company is committed to learning from past experiences and adapting its strategies to better respond to market conditions [10][12] Other Important Information - The company is launching a new master brand advertising campaign aimed at maximizing media efficiency across various markets [17][20] - The company has a strong focus on health and nutrition, with a significant portion of its revenue coming from fish, protein, and vegetables [16] Q&A Session Summary Question: What has changed regarding long-term targets for revenue and EBITDA growth? - Management indicated that the previous targets were too tight given the volatile environment and emphasized the need for a larger savings program alongside lower EBITDA guidance [55][56] Question: Are the targeted cost savings real, and where will they be allocated? - Management clarified that the $200 million savings target is a cumulative increase and will be reinvested into product quality and innovation [60][62] Question: How does the company plan to manage pricing actions while minimizing market share loss? - Management explained that they have developed a revenue growth management tool to make more informed pricing decisions by category and country [67][70] Question: What is the outlook for capital allocation given strong free cash flow? - Management stated that they will continue to evaluate capital allocation strategies, including share buybacks and dividends, in light of current valuations [71]

Core Insights - Nomad Foods Limited reported a challenging second quarter in 2025, with unfavorable weather impacting consumer behavior and sales, leading to a decrease in revenue and profit metrics [2][5][7] - The company has lowered its full-year guidance for organic revenue and Adjusted EBITDA due to weaker-than-expected first half results, now expecting organic revenue to be flat to -2% and Adjusted EBITDA to decline by 3% to 7% year-on-year [5][8] Financial Performance - Revenue for the second quarter of 2025 decreased by 0.8% to €747 million compared to the same period in 2024, with organic revenue declining by 1.1% driven by a volume decline of 1.0% and a price/mix decline of 0.1% [7][8] - Adjusted EBITDA for the second quarter decreased by 7.2% to €129 million, while Adjusted EPS decreased by 9.1% to €0.40 [7][8] - For the first six months of 2025, revenue decreased by 1.9% to €1,507 million, with organic revenue down 2.4% due to a volume decline of 2.3% [8][23] Market Position and Strategy - Despite external challenges, Nomad Foods improved its market share in the quarter, with retail sell-out growth accelerating to +1% for the second quarter, bringing year-to-date growth to +0.7% [2][5] - The company is focusing on innovation and renovation initiatives to drive future growth, with expectations of organic sales returning to growth in the second half of the year, assuming normalized weather conditions [2][5] Guidance and Outlook - The revised full-year guidance includes an expected Adjusted EPS range of €1.64 to €1.76, down from the previous range of €1.82 to €1.89, translating to a USD range of $1.89 to $2.02 based on the July 30, 2025 exchange rate [5][8] - The company maintains its full-year adjusted free cash flow conversion guidance of 90% or greater, indicating a focus on cash generation despite the current challenges [5][8]

Group 1 - Nomad Foods Limited will report its second quarter results for the period ended June 30, 2025, before the market opens on August 6, 2025 [1] - A conference call with the executive management team is scheduled for 8:30 AM Eastern Daylight Time on August 6, 2025, to discuss the results [2] - The conference call will be accompanied by a presentation and will be webcast, accessible via the Nomad Foods website [2] Group 2 - Nomad Foods is recognized as Europe's leading frozen food company, with a portfolio that includes well-known brands such as Birds Eye, Findus, iglo, Ledo, and Frikom [3] - The company emphasizes its commitment to providing great tasting, convenient, high-quality, and nutritious food options for consumers [3] - Nomad Foods is headquartered in the United Kingdom, and additional information can be found on its website [3]

Core Insights - Nomad Foods Limited reported a decrease in revenue and adjusted EBITDA for the first quarter of 2025 compared to the same period in 2024, primarily due to retailer inventory destocking and the timing of Easter impacting sales growth [1][5][6] - The company has recalibrated its full-year sales, adjusted EBITDA, and adjusted EPS expectations, anticipating organic revenue growth of 0%-2% and adjusted EBITDA growth of 0%-2% for 2025 [4][5][6] Financial Performance - Revenue decreased by 3.0% to €760 million, with organic revenue declining by 3.6% driven by a volume decline of 3.7% [5][6] - Gross margin expanded by 90 basis points to 27.8%, attributed to supply chain productivity improvements [5][6] - Adjusted EBITDA decreased by 1.8% to €120 million, while adjusted EPS fell by 5.4% to €0.35 [5][6] Management Commentary - CEO Stéfan Descheemaeker highlighted strong gross margin improvement and ongoing investment in growth platforms and innovation, despite challenges from retailer destocking and macroeconomic uncertainties [2][4] - Co-Chairman Noam Gottesman expressed confidence in the company's growth potential, noting the strength of its leading brands and portfolio in the healthy frozen food category in Europe [2][4] 2025 Guidance - The company has lowered its full-year revenue and adjusted EBITDA outlook due to unexpected retailer inventory destocking and higher input cost inflation, with adjusted EPS guidance now set at €1.82-€1.89 [4][5] - The adjusted free cash flow conversion guidance remains at 90% or greater [4] Key Metrics - Adjusted EBITDA margin for the first quarter of 2025 was 15.8%, compared to 15.6% in the previous year [35] - The company maintained a strong cash flow position, with cash and cash equivalents at €329.8 million as of March 31, 2025 [23][24]