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B&G Foods (BGS) Beats Q3 Earnings, Stock Hit by View Cut
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Shares of B&G Foods, Inc. (BGS - Free Report) dropped over 3.9% during afterhours trading following its third-quarter earnings release as the shelf-stable and frozen foods company revised its 2016 guidance downward.
The company reported adjusted earnings per share of 56 cents, beating the Zacks Consensus Estimate of 52 cents by 7.7%. Earnings also increased 43.6% from the year-ago quarter, owing to higher sales and margins.
Revenues
Total revenue of $318.2 million however missed the Zacks Consensus Estimate of $337 million by 5.6%. While recent acquisitions drove sales higher, the base business reported weak volumes, thanks to currency headwinds.
Revenues increased 49.2% year over year driven by strong sales at Green Giant which was acquired in Nov 2015. Net sales contribution from the Green Giant brand was $113.8 million during the quarter.
Net sales at the company’s comparable base business decreased 3.7% during the quarter. Net sales at the comparable base business were hurt by a 2.8% decline in volume and 0.9% decrease in net pricing.
Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) rose 60.2% to $85.1 million during the quarter.
Outlook
B&G Foods revised its fiscal 2016 outlook for net sales, adjusted EBITDA and earnings per share.
The company expects full-year 2016 adjusted earnings per share in the range of $2.11–$2.17 ($2.11 to $2.21 earlier). The guidance, however, marks a year-over-year increase over $1.53 reported in 2015.
The company also revised its guidance for 2016 net sales. Now, net sales are expected between $1.38 billion and $1.40 billion instead of $1.39 billion and $1.42 billion expected earlier. The revised outlook however is higher than $966.4 million reported in 2015.
Adjusted EBITDA is now projected in the range of $322 million to $328 million, above the prior range of $317.0 million to $327.0 million.
Mondelez International, Inc. (MDLZ - Free Report) reported third-quarter 2016 adjusted earnings of 52 cents per share that missed the Zacks Consensus Estimate of 43 cents by 20.9%.
General Mills, Inc. (GIS - Free Report) reported first-quarter fiscal 2017 adjusted earnings per share of 78 cents that beat the Zacks Consensus Estimate of 76 cents by 2.6%.
Upcoming Release
The Kraft Heinz Company (KHC - Free Report) is slated to report third-quarter 2016 results on Nov 3, after market close.
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B&G Foods (BGS) Beats Q3 Earnings, Stock Hit by View Cut
Shares of B&G Foods, Inc. (BGS - Free Report) dropped over 3.9% during afterhours trading following its third-quarter earnings release as the shelf-stable and frozen foods company revised its 2016 guidance downward.
The company reported adjusted earnings per share of 56 cents, beating the Zacks Consensus Estimate of 52 cents by 7.7%. Earnings also increased 43.6% from the year-ago quarter, owing to higher sales and margins.
Revenues
Total revenue of $318.2 million however missed the Zacks Consensus Estimate of $337 million by 5.6%. While recent acquisitions drove sales higher, the base business reported weak volumes, thanks to currency headwinds.
Revenues increased 49.2% year over year driven by strong sales at Green Giant which was acquired in Nov 2015. Net sales contribution from the Green Giant brand was $113.8 million during the quarter.
Net sales at the company’s comparable base business decreased 3.7% during the quarter. Net sales at the comparable base business were hurt by a 2.8% decline in volume and 0.9% decrease in net pricing.
Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) rose 60.2% to $85.1 million during the quarter.
Outlook
B&G Foods revised its fiscal 2016 outlook for net sales, adjusted EBITDA and earnings per share.
The company expects full-year 2016 adjusted earnings per share in the range of $2.11–$2.17 ($2.11 to $2.21 earlier). The guidance, however, marks a year-over-year increase over $1.53 reported in 2015.
The company also revised its guidance for 2016 net sales. Now, net sales are expected between $1.38 billion and $1.40 billion instead of $1.39 billion and $1.42 billion expected earlier. The revised outlook however is higher than $966.4 million reported in 2015.
Adjusted EBITDA is now projected in the range of $322 million to $328 million, above the prior range of $317.0 million to $327.0 million.
B&G Foods currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank stocks here.
Peer Releases
Mondelez International, Inc. (MDLZ - Free Report) reported third-quarter 2016 adjusted earnings of 52 cents per share that missed the Zacks Consensus Estimate of 43 cents by 20.9%.
General Mills, Inc. (GIS - Free Report) reported first-quarter fiscal 2017 adjusted earnings per share of 78 cents that beat the Zacks Consensus Estimate of 76 cents by 2.6%.
Upcoming Release
The Kraft Heinz Company (KHC - Free Report) is slated to report third-quarter 2016 results on Nov 3, after market close.
B&G FOODS CL-A Price, Consensus and EPS Surprise
B&G FOODS CL-A Price, Consensus and EPS Surprise | B&G FOODS CL-A Quote
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