Dean Foods (DF) Misses Q3 EPS by 2c, Miss on Revenues; Offers FY17 EPS Mid-Point Above Consensus

Dean Foods (NYSE: DF) reported Q3 EPS of $0.20, $0.02 worse than the analyst estimate of $0.22. Revenue for the quarter came in at $1.94 billion versus the consensus estimate of $1.98 billion.

Forward Outlook

"As we look to the balance of 2017, we continue to pursue smart volume to drive our top line, build margins and create operating efficiencies," said Scozzafava. "With momentum building on our commercial and cost productivity initiatives, we expect to deliver full-year adjusted diluted earnings per share of $0.80 to $0.90. We are also updating our full-year free cash flow estimates to $10 million to $20 million and reducing our full-year capital expenditure estimates to $105 million to $115 million.

"Our initiatives to build strong brands and diversify our portfolio will build brand equity on DairyPure through new product innovation and enhanced consumer marketing. In addition, we are intensely focused on reducing our cost structure across each facet of the organization. Through a comprehensive productivity program including OPEX 2020 and our enterprise-wide initiatives currently ramping up, we will drive efficiencies across the business to enable us to compete and win. Lastly, I want to emphasize that we are prudently navigating the macro environment in our industry with a solid strategy that will enable us to be successful," concluded Scozzafava.

Highlights

• Q3 loss from continuing operations per share was $0.11 and adjusted income from continuing operations per diluted share was $0.20
• Volume and private label mix challenges continue in the third quarter; new volume wins begin shipping late 2017 and early 2018
• Enterprise-wide cost productivity program will deliver incremental cost savings in 2018
• Narrows full-year 2017 adjusted earnings expectation to $0.80 to $0.90 per diluted share(1)

GUIDANCE:

Dean Foods sees FY2017 EPS of $0.80-$0.90, versus the consensus of $0.80.

For earnings history and earnings-related data on Dean Foods (DF) click here.

You May Also Be Interested In

• LeonaBio (LONA) Price Target Cut to $17 by Citizens Amid Pipeline Development
• Blackhawk Network (HAWK) Reports Q2 Loss of $0.07; Offers Guidance
• Keefe, Bruyette & Woods Starts Columbia Financial Inc (CLBK) at Outperform