Kraft (KFT) Earnings Decline Sharply in Q1, Sales Up 11%
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Financial Fact:
Net earnings attributable to Kraft Foods: 0.35
Today's EPS Names:
BTTX, VAXX, ELYS, More
Financial Fact:
Net earnings attributable to Kraft Foods: 0.35
Today's EPS Names:
BTTX, VAXX, ELYS, More
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Kraft Foods (NYSE: KFT) issued first-quarter results Thursday afternoon, modestly beating the Street on both earnings and sales.
The company reported quarterly net earnings of $799 million, down a sharp 58 percent from the $1.88 billion posted during the same quarter last year. Profit per share totaled 45 cents, down 61 percent from a quarterly profit of $1.16 during the first quarter of 2010. Adjusting for several items in the quarter, Kraft saw earnings of 52 cents per share.
Revenue came in at $12.57 billion, up 11 percent from sales of $11.32 billion in the year-ago quarter. Kraft's Snack unit made up the largest chunk of the company's sales, totaling $1.49 billion, up 7 percent from the same quarter last year.
The Street was expecting Kraft to issue EPS of 47 cents on sales of $12.33 billion.
Kraft's Irene Rosenfeld, Chairman and CEO, said, "We're off to a stronger-than-anticipated start to the year as our teams around the world execute our growth strategy. Our business fundamentals are solid, and we continue to benefit from brand-building investments which allowed us to successfully deliver net pricing to offset commodities increases and drive top-tier growth. At the same time, we're generating cost savings to reinvest in further growth and expand margins."
Kraft said it is looking for FY11 organic sales growth of at least 4 percent and operating earnings of at least $2.20 per share. Analysts are currently looking for Kraft to report FY11 sales of $52.42 billion and EPS of $2.23.
Shares of Kraft are trading very slightly lower in after-hours trading following the results. The stock last traded at $33.32 after closing at $33.39.
The company reported quarterly net earnings of $799 million, down a sharp 58 percent from the $1.88 billion posted during the same quarter last year. Profit per share totaled 45 cents, down 61 percent from a quarterly profit of $1.16 during the first quarter of 2010. Adjusting for several items in the quarter, Kraft saw earnings of 52 cents per share.
Revenue came in at $12.57 billion, up 11 percent from sales of $11.32 billion in the year-ago quarter. Kraft's Snack unit made up the largest chunk of the company's sales, totaling $1.49 billion, up 7 percent from the same quarter last year.
The Street was expecting Kraft to issue EPS of 47 cents on sales of $12.33 billion.
Kraft's Irene Rosenfeld, Chairman and CEO, said, "We're off to a stronger-than-anticipated start to the year as our teams around the world execute our growth strategy. Our business fundamentals are solid, and we continue to benefit from brand-building investments which allowed us to successfully deliver net pricing to offset commodities increases and drive top-tier growth. At the same time, we're generating cost savings to reinvest in further growth and expand margins."
Kraft said it is looking for FY11 organic sales growth of at least 4 percent and operating earnings of at least $2.20 per share. Analysts are currently looking for Kraft to report FY11 sales of $52.42 billion and EPS of $2.23.
Shares of Kraft are trading very slightly lower in after-hours trading following the results. The stock last traded at $33.32 after closing at $33.39.
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