Anticipation for Nomad Foods CEO Dominic Brisby’s turnaround plan has mounted following a tough set of first-quarter results.
Group revenues at the Birds Eye owner fell 5.3% on an organic basis, as a 4.4% volume decline hit sales.
Turnover for the quarter to 31 March 2026 fell to €715m (£618m), with Nomad Foods’ gross margin contracting 210 basis points.
The blow to gross margin followed through as a 22.9% reduction in EBITDA to €93m, with profit down 12% to €29m.
While negative, the results exceeded expectations, as analyst consensus had put the quarter’s revenue at $695.3m. The group’s decline in volumes, meanwhile, was largely attributed to “inventory and order pattern realignment” among customers, with sell-out to retail consumers flat in the quarter.
Appointed in November 2025, Brisby had warned investors after the company’s full-year results in February that the company’s revival would “not be immediate”.
But speaking alongside this afternoon’s results, he said the company had made “meaningful progress” in strengthening the group’s foundation. The strategy “underpinning” his optimism will be revealed in the autumn.
“Since the beginning of the year, we have successfully secured our planned level of price increases, realigned order patterns by eliminating inefficient quarter‑end sales incentives, and reshaped the organisation while recruiting top‑tier talent,” Brisby said.
The appointment of two new regional presidents in the quarter has now been joined by the arrival of new chief marketing officer Justin Billingsley.
Co-chairman and founder of Nomad Foods Noam Gottesman said he was encouraged by the “pace and decisiveness” with which Brisby and his team have worked to build a foundation for the turnaround.
“Our market advantages are increasingly evident, with accelerating category growth and resilient demand for our brands during the quarter,” he said.
“I am confident the company is positioned to deliver a step‑change in growth as the new leadership team transforms the culture and advances its expansion initiatives.”
Nomad Foods maintained its guidance for declines in revenue and profit for 2026. The company expects organic revenue to fall by 2%-5% in the year, with adjusted EBITDA to fall by 5%-10%.
Shares in the group fell 1.3% in the first hour of trading on the New York Stock Exchange.
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