Half Year 2020 Kerry Group PLC Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: James Targett - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst : A couple of questions for me. Firstly, on foodservice. Maybe you could -- thank you for giving us that color of the exit rate. It's very helpful. But I wonder maybe if you could talk about that June figure or the July figure you gave, how that was trended by the regions? Just to get an idea of where foodservice was down in the 3 regions, that would be very helpful. And then secondly, on innovation, Edmond, thanks for your comments on sort of where your focus is and the opportunities that you're seeing right now. But I guess, specifically, a lot of the CPG companies have been flagging a couple of things like a more rationalized approach to innovation, a less scattergun approach, fewer, bigger innovations and also talking about SKU reductions, we're talking 25 -- 20%, 25% SKU reduction. What specifically does that sort of strategy mean for Kerry? That would be useful to get some color there. And particularly, if there's a big difference between what you're seeing on innovation with your local versus your global customers? And maybe a third one, if I can, just on Consumer Foods. You -- actually, sorry -- yes, on Consumer Foods, you say there was no big impact from COVID, but ultimately, volumes swung from being up 3% in the first quarter, so I think, down 4%, excluding the Tesco contract. So is that just due to footfall issues and schools being closed, et cetera? Or is there something fundamentally changed for demand for your products that you expect to see weaker growth in Consumer Foods going forward?

Question: Jason Molins - Goodbody Stockbrokers UC, Research Division - Analyst : Edmond, just looking to clarify your comments in terms of the trajectory for Q3. Just -- did you say low single-digit to flat? If you can just clarify that? And also in terms of the split within the Taste & Nutrition and the foodservice, you've gone into a bit of detail, but how should we think about the retail channel? Or how are you thinking about that retail channel developing over the coming quarter? Maybe 1 for Margaret. In terms of COVID costs, just wondering if you could put a quantum on the additional costs you had to absorb in the year so far? And then just sort of finally on the Consumer Foods. Obviously, the CEO has left that business recently. There has been mounting speculation around the dairy processing business, perhaps some of the dairy elements of your Consumer Foods business. Just wondering how we should think about that? Would setting up a JV that's been mentioned and speculated, would that make sense in your eyes? Maybe some comments around that would be helpful.

Question: Arthur John Reeves - Barclays Bank PLC, Research Division - Analyst : A couple of questions from me, please. Could you scope out how big your plant-based and food protection businesses are compared to the whole thing, please? And then looking beyond this year, do you think that overall COVID is going to be good for Kerry? Or do you see some fundamental changes that mean that you will have to change your 4% to 6% volume growth midterm forecast, please?