Nomad Foods (NYSE: NOMD) saw its stock soar 5.73% in pre-market trading on Thursday following the release of its third-quarter 2025 financial results. The company, which is Europe's leading frozen food producer, reported mixed results but managed to beat earnings expectations.
Despite a 2.2% year-over-year decrease in revenue to €752.4 million, slightly missing analyst estimates of €758.3 million, Nomad Foods impressed investors with its bottom-line performance. The company reported adjusted earnings per share (EPS) of €0.49, surpassing the consensus estimate of €0.46. This represents a 10.9% decline from the same period last year but still outperformed market expectations.
The positive market reaction can be attributed to several factors. Firstly, Nomad Foods demonstrated resilience in a challenging environment, with organic revenue declining only 1.6% despite weather-related category pressures and soft performance in the UK market. Secondly, the company's cost management efforts were evident, with a high single-digit contraction in overhead costs during the quarter. Additionally, Nomad Foods maintained its full-year guidance, expecting results near the low end of existing ranges, which may have reassured investors about the company's outlook. The upcoming CEO transition in 2026 and management's optimistic comments about future growth potential likely contributed to the positive sentiment as well.
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