Conagra falls after maintaining annual forecast
CAG•Conagra shares fell about 3% in premarket trading after the company maintained its annual forecast for organic net sales to decline 1% to 3% and adjusted EPS of $1.40 to $1.50. First-quarter net sales were $2.60 billion and adjusted EPS was 41 cents, both above analyst estimates.
1. Quarterly results
Conagra reported first-quarter net sales of $2.60 billion, narrowly above analysts’ estimate of $2.59 billion. Adjusted EPS of 41 cents beat expectations of 28 cents.
2. Forecast and segments
The company maintained its annual forecast for organic net sales to fall between 1% and 3%, and adjusted EPS of $1.40 to $1.50. Its grocery and snacks segment declined 2.6%, compared with an 8.7% fall a year earlier. CEO John Brase said, “There is more work to be done,” citing a challenging operating environment.
