Conagra Brands posted a fourth quarter profit beat but its stock failed to gain momentum as it also issued a soft fiscal 2024 outlook.
The American consumer packaged goods company, whose major brands include Hunt’s, Slim Jim, Pam, Orville Redenbacher’s, and Chef Boyardee, reported adjusted earnings per share (EPS) for 4Q fiscal 2023 of $0.62, above the Street’s expectation of $0.60.
Its net sales grew 2.2% over the year-ago quarter to $2.97 billion, below the consensus analyst expectation of $2.99 billion.
For fiscal 2023, sales grew 6.4% to $12.3 billion and adjusted EPS was up 17.4% to $2.77.
However, the company’s fiscal 2024 soft guidance did not impress the market.
For fiscal 2024, the company projected organic net sales growth of 1% over fiscal 2023 compared to the consensus expectation per Reuters of 2.77%.
It expects adjusted EPS between $2.70 and $2.75, below expectations of $2.85.
Conagra shares were trading up 0.3% at US$33.08 at noon on Thursday.
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