Nomad Foods Limited reported fourth‑quarter and full‑year 2025 results that showed a 1.3% decline in organic revenue to €3.0 billion and a 1.9% decline for the year, while adjusted earnings per share rose 2.4% in the quarter to €0.43 and fell 6.7% for the year to €1.66. The company’s adjusted gross margin contracted 240 basis points in Q4 and 210 basis points for the year, reflecting the impact of supply‑chain inflation and inventory destocking, offset only partially by productivity gains and a favorable mix shift.
In the quarter, Nomad Foods’ reported revenue fell to €773 million from €793 million in Q4 2024, and its organic revenue slipped 1.3% year‑over‑year. Full‑year 2025 revenue of €3.0 billion was down 1.9% from €3.1 billion in 2024. Adjusted EPS for the quarter increased to €0.43 from €0.42 in Q4 2024, while the full‑year figure dropped to €1.66 from €1.74 in 2024, underscoring the mixed performance across the year.
Margin compression was driven primarily by higher input costs and inventory write‑downs. The 240‑basis‑point drop in Q4 gross margin and the 210‑basis‑point decline for the year were largely attributed to supply‑chain inflation, while productivity initiatives and a shift toward higher‑margin products provided limited offset.
Management reiterated a cautious outlook for 2026, projecting organic sales to decline 2%‑5% and adjusted EPS to fall 4%‑13%. The guidance reflects a “transition year” as the company restructures operations, tightens costs, and focuses on long‑term value creation. The guidance range is consistent with the company’s earlier outlook issued in August 2025.
Noam Gottesman, Nomad Foods’ Co‑Chairman and Founder, said, “Dominic and his team have a lot of work ahead of them, but they are starting from a good place. The company’s portfolio is strong, category growth is robust and retail‑sell‑out in 2025 delivered modest growth. The opportunity ahead is substantial. Dominic and his team have the Board’s full support during this transition year and I am excited to see him unlock significant underappreciated value in Nomad Foods for shareholders.” Dominic Brisby, CEO, added, “The Company delivered full‑year results that were roughly in line with the updated outlook that was issued last August. The Organic sales decline of 1.9% was in line with our outlook. Adjusted EBITDA declined by 7.5%, modestly below the guidance range while EPS of €1.66 was within the range.”
Investors reacted negatively to the results, citing the revenue miss and the cautious 2026 guidance as primary concerns. The market’s response highlighted the sensitivity to headwinds such as supply‑chain inflation and a downturn in the frozen‑food market, while also noting the company’s ongoing cost‑control and efficiency initiatives.
The results signal a shift from a period of consecutive growth to a transition phase marked by margin compression and modest revenue decline. Headwinds include higher input costs, inventory destocking, and a weaker frozen‑food market, while tailwinds such as productivity gains and a favorable product mix provide some relief. The company’s focus on restructuring and long‑term value creation will be closely watched to determine whether the current challenges are temporary or indicative of a longer‑term structural shift.
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