C&C Group has reported that earnings are in line with expectations so far in the financial year as it announced the appointment of Feargal O’Rourke to the board.
The Bulmers maker announced the results ahead of its AGM later today.
It said that despite poor summer weather impacting sales, the group remains confident that it will achieve its earnings expectations for the full year, reflecting significant growth so far in the financial year.
The group also reaffirmed its commitment to recommence its second €15 million tranche of its share buyback programme from 1 September.
It will publish half-year guidance on 9 September 2024.
C&C previously communicated its intention to deliver at least €150 million to shareholders over the next three years ending February 2025, 2026 and 2027.
It said it would do this through an appropriate mix of buybacks, dividends and special dividends depending on circumstances.
C&C launched a €15 million share buyback programme on 1 March 2024 which is now complete.
Subject to shareholder approval at today’s AGM, the directors have proposed a final dividend of 3.97 cent per share, after an interim dividend of 1.89 cent per share was paid in December.
These make a full-year dividend of 5.86 cent per share.
Board Change
C&C also announced the appointment of O’Rourke to the board today as an independent, non-executive director with effect from the end of today’s AGM.
Shareholder Engine Capital previously proposed Ryan Dubin and Alan Hibben as candidates to join the board alongside eight existing board members.
C&C Group acknowledged Engine Capital’s open letter the following day and said it would provide a response ‘in due course.’
Late last week, the company and shareholder reached an agreement to appoint a non-executive director from a shortlist of nominees.
As part of the deal, Engine Capital withdrew its proposed nominees ahead of the AGM.
The group said the appointment of O’Rourke is part of the board’s ongoing programme of refreshment and renewal, and the process to appoint him predates engagement with Engine Capital and ‘does not impact the recently announced engagement to appoint a new non-executive Director to the Board.’
‘Valuable Expertise’
Speaking about the appointment, the chair and chief executive of C&C Group Ralph Findlay said, “Feargal brings valuable expertise to C&C having advised companies on a broad range of corporate, financial and taxation considerations over a long and esteemed career in PwC.
“We look forward to the contribution he will make to the C&C board in the period ahead as we pursue our strategic, financial and ESG ambitions.”
O’Rourke retired from professional services in PwC in October 2023 where he had worked a variety of roles during his 37-year career at the company.
In January 2024, he was appointment by Ireland’s Minister for Enterprise, Trade and Employment as Chair of IDA Ireland, the semi-state body that promotes foreign direct investment into Ireland.
On his appointment, O’Rourke said, “With its iconic brands and leading distribution platform, I am delighted to join C&C and support the board as it delivers its ambitious medium- and long-term goals.”
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