- ConAgra (NYSE:CAG) slumps 11% after FY2019 guidance for adjusted EPS from continuing operations falls short of the consensus estimate.
- Sees total FY2019 adjusted EPS from continuing operations of $2.03-$2.08; consensus estimate of $2.12.
- Sees total ConAgra reported net sales up 22%-23% for the year; organic net sales, excluding Trenton, up 1.0%-2.0%.
- Reaffirms FY2019 net sales, margin guidance for legacy ConAgra brands.
- Fiscal Q2 organic net sales, excluding the sale of its Trenton, MO, plant, slid 1.6%; 220 basis points of decline in organic sales growth attributed to the impact of hurricanes in the prior-year period.
- Q2 net sales for grocery & snacks segment basically flat at $900M; organic net sales declined 1.9%.
- Q2 refrigerated & frozen segment net sales increased 1.7% to $722M; organic net sales +0.5%.
- Sees exceeding $215M Pinnacle-related cost synergy target.
- "While this work will take time, we have done this before and remain confident in our ability to enhance Pinnacle's portfolio of leading brands and drive long-term shareholder value," says ConAgra President and CEO Sean Connolly.
- Previously: ConAgra Brands beats by $0.10, beats on revenue (Dec. 20)
- Now read: ConAgra Brands, Inc. 2019 Q2 - Results - Earnings Call Slides
Original article