Greencore said it sees a gap in the US market for its ready-to-eat convenience foods and hopes to be ready to expand into North America in the next year.
In an interview with news agency Reuters, Greencore's Chief Financial Officer Patrick Coveney said that the company's focus for the moment is looking at opportunities in North America.
'We're somewhat timebound in the search and investment process. I would expect that within 12 months we would have much more clarity on what our US plans are going to be,' he said.
Coveney pointed out that a culture of eating out means less than half of US food is bought in shops. This compares to the UK where retailers have a 71% market share and is thanks in part to sales of ready made convenience foods missing from US stores.
'If you go into a North American supermarket the food offering there, particularly the chilled food offering, is much less developed than it is in the UK,' he explained.
'It's like going back in time when you see it and there is a huge agenda among the North American retailers to change that,' he added.
Greencore has already been approached by US retailers and existing customers eyeing a bigger slice of the North American food market, Coveney added.
He said that entering the US market might involve acquisitions or joint ventures.
Greencore also wants to expand existing convenience food businesses in Ireland and the Netherlands but is unlikely to invest in larger European markets in the near future due to high costs.
Coveney said a stronger second half performance by its convenience food unit, which accounts for over 70% of group profit, meant it was on track to meet full year goals.
For the year to the end of September, the company sees earnings per share - adjusted to exclude extraordinary items - slightly below last year's 32.5 cents but above 30 cents.
Greencore's exit from sugar producing following EU subsidy reforms means earnings are set to slip this year and next but Coveney said he expected 'strong' growth thereafter.
Shares in Greencore have climbed 30% since it posted annual results last November, boosted by speculation that the sale of over 900 acres of land, formerly sugar processing plants in Mallow and Carlow, could bring in a hefty windfall but Coveney said it was too early to say what it might be worth.
In order to maximise value, the sites must first be rezoned for other uses. 'It could be in the next six months, it might take three years, it might take five years,' the CFO said.
Even once the land has been approved for other uses the sheer size of some sites meant they were unlikely to be sold all in one go, he added.
He poured cold water, however, on reports the company may get actively involved in property development.
'I think it would be self-evident that we do not have a capability in construction. We'll certainly not be a food and construction company. What we are primarily and principally is a convenience food company,' Coveney said.
