- Inghams maintains forecasted core poultry volume decline at 1% to 3% for FY25.
- Underlying EBITDA pre-AASB 16 is anticipated between A$236 million and A$250 million.
- Core poultry volumes declined by 2.2% year-on-year for the first nine months of FY25.
- Net selling price per kilogram for core poultry increased by 1.2% over the same period.
- Key feed ingredient prices, such as wheat and soymeal, decreased by approximately 9% and 13% respectively during FY25.
- Pricing of key ingredients has stabilized in the third quarter of FY25.
- In Australia, core poultry volume saw a 3.4% decline during the first nine months of FY25 compared to FY24.
- Volume reduction is linked to managing high inventory levels during the second half of FY24 and adjustments from a new Woolworths supply agreement effective mid-third quarter FY25.
- The company has adjusted its customer portfolio effectively, covering the reduction in volume from the new Woolworths agreement on an annualized basis.
- Analyst recommendations stand at 5 buys, 6 holds, and 1 sell.
A look at Inghams Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 4 | |
| Growth | 5 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Investors looking at Inghams Group Limited for the long term may find encouragement in the company’s Smartkarma Smart Scores. With a high Growth score of 5 and strong Momentum score of 4, Inghams appears positioned for future expansion and market traction. The company’s focus on producing poultry products indicates a potential for continued growth within the food industry, enhancing its outlook for long-term success.
Inghams‘ above-average Dividend score of 4 suggests a commitment to rewarding shareholders, while its Resilience score of 3 indicates a moderate ability to weather challenging market conditions. Although the company’s Value score is lower at 2, the overall positive scores in other key areas demonstrate Inghams‘ strengths and potential for sustainable performance in the Australian and New Zealand markets as it continues to serve retailers with a variety of meat products.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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