logo
  Join        Login             Stock Quote

General Mills (GIS) Q2 Earnings Jump, Margins Expand; Lifts Forecast

 December 19, 2012 07:20 AM
 


(By Balachander) General Mills Inc. (NYSE: GIS) posted higher quarterly profit and sales, and the maker of branded consumer foods raised its fiscal 2013 forecast. Earnings topped market expectations, while sales came in-line with consensus.

On an adjusted basis, the Minneapolis, Minnesota-based company earned 86 cents a share, compared with 76 cents in the same period of last year. Net earnings attributable to General Mills jumped 22 percent to $541.6 million.

The company, whose markets brands include Betty Crocker, Pillsbury, Fiber One and Cheerios, said net sales increased 5.6 percent to $4.88 billion.

[Related -General Mills, Inc. (GIS) Dividend Stock Analysis]

Wall Street analysts, on average, expected EPS of 79 cents on sales growth of 5.60 percent for the second quarter.

Gross margin on an adjusted basis expanded 20 basis points to 36.7 percent. Gross margin as reported improved 120 basis points to 35.7 percent.

The company said its U.S. Retail segment posted gains in pound volume, net sales and operating profit. The Bakeries and Foodservice segment generated strong double-digit operating profit growth.

International segment recorded "good" sales and profit growth for established businesses in addition to the incremental contributions from Yoki and Yoplait Canada, General Mills said.

Looking ahead for fiscal 2013, General Mills currently expects adjusted earnings per share in the range of $2.65 to $2.67 from prior expectations of about $2.65, while analysts expect $2.67 per share.

[Related -How To Calculate The Intrinsic Value Of Your Common Stocks: Part 1]

The company expects supply chain inflation to be at the high end of its 2 percent to 3 percent guidance range.

For the first quarter, the company's adjusted earnings increased to 66 cents from 64 cents. Net sales grew 5 percent to $4.05 billion.

GIS shares, which have been trading in the 52-week range between $36.75 and $41.77, closed Tuesday's regular trading at $41.77.

iOnTheMarket Premium
Advertisement

Advertisement


Post Comment -- Login is required to post message
Name:  
Alert for new comments:
Your email:
Your Website:
Title:
Comments:
 

rss feed

Latest Stories

article imageLadenburg Thalmann Financial Services (NYSEMKT:LTS): Heavy, Durable Insider Buying

Ahh, but any worries over price levels didn’t stop multiple insiders at Ladenburg Thalmann Financial read on...

article imageInternational Business Machines Corp. (IBM) Q2 Earnings Preview: Small Beat and Pop

International Business Machines Corp. (NYSE:IBM) will host a conference call Wednesday, Jul. 16, 2014 at read on...

article imageGoogle Inc. (GOOGL) Q2 Earnings Preview: A Few Pennies Either Way Make a Big Difference.

Google Inc. (NASDAQ:GOOGL) will hold its quarterly conference call to discuss second quarter 2014 financial read on...

article image19 Companies That Could Beat Earnings and Pop on Price Next Week

Using iStock’s proprietary iEstimates model, we have identified 19 publicly traded companies that could read on...

Advertisement
Popular Articles

Advertisement
Daily Sector Scan
Partner Center



Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.