DJ Post Holdings's 1Q Results Beat Wall Street Projections -- Earnings Review
Post Holdings Inc. backed financial projections and reported lower first-quater profit, but results were ahead of Wall Street expectations. Here's what you need to know:
PROFIT: Net income fell to $81.2 million from $99.2 million a year earlier. On a per-share basis, profit was $1.21, or 72 cents as adjusted. Analysts surveyed by FactSet had expected 70 cents a share in adjusted profit.
REVENUE: Net sales were roughly flat at $1.46 billion. Analysts had expected $1.42 billion.
OUTLOOK: Post said it affirmed its forecast of $520 million to $550 million in adjusted earnings before interest, taxes, depreciation, and amortization, or Ebitda, for the first half of the current business year, with the expectation of material improvement in the second half of the year. It also maintained capital spending plans for the year at $225 million to $250 million, including about $4 million attributable to BellRing Brands Inc.
BELLRING OUTLOOK: BellRing management also maintained projections of net sales this year to increase 8% to 13% and adjusted Ebitda by 5% to 10%. (resulting in a net sales range of $1.07-$1.12 billion and an adjusted Ebitda range of $207-$217 million).
PANDEMIC: Company officials had said it has seen higher sales of products sold online and in other food, drug stores, for example, during the pandemic. The foodservice business, harder hit by the pandemic, remained challenged in the latest period and volumes continued to track with changes in the degree of pandemic-related restrictions on mobility and gathering, the company said. BellRing's primary categories, liquids and powders, returned to growth relatively in line with their pre-pandemic growth rates, the company said, adding that the bar category continues to experience year-over-year declines and BellRing's remained weaker than the year-ago period.
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(END) Dow Jones Newswires
February 04, 2021 17:14 ET (22:14 GMT)
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