General Mills Q2 profit beats estimatesChristian Fernsby ▼ | December 18, 2019
General Mills reported that its second-quarter adjusted earnings per share improved 11 percent year-on-year in constant currency to $0.95.
General Mills Adjusted operating profit was $813 million, up 7 percent in constant currency
Topics: General Mills
Analysts' estimates typically exclude special items.
Adjusted operating profit was $813 million, up 7 percent in constant currency, primarily driven by higher adjusted gross margin and lower consumer promotional expense, partially offset by higher media expense.
Second-quarter net sales were $4.42 billion, flat to last year.
Organic net sales increased 1 percent, driven primarily by strong growth for the Pet segment.
Organic volume was up 1 percent and organic net price realization and mix was in line with last year.
Analysts expected revenue of $4.43 billion, for the quarter.
For fiscal 2020, General Mills reaffirmed its targets for sales, profit, and earnings per share.
Constant-currency adjusted earnings per share are expected to increase 3 to 5 percent.
Organic net sales are expected to increase 1 to 2 percent.
The company now expects free cash flow conversion of at least 105 percent of adjusted after-tax earnings. ■