MGP Ingredients (NASDAQ: MGPI) reported Q2 EPS of $0.55, $0.24 better than the analyst estimate of $0.31. Revenue for the quarter came in at $79.9 million versus the consensus estimate of $84.48 million.

2016 and Long Term Guidance

MGP is providing revised guidance for 2016. The 2016 net sales percentage growth projection has been revised downward to reflect year-to-date sales declines. The anticipated effective tax rate has improved. The three-year operating income guidance is unchanged and excludes the favorable litigation settlement and asset sale gain.

• Operating income is expected to increase by a compound annual growth rate in the ten to fifteen percent range through fiscal 2018.
• 2016 net sales are expected to decline in the low-single digits on a percentage basis.
• 2016 gross margin gains are expected to be moderate following strong 2015 improvement.
• 2016 effective tax rate is forecast to be 31%, reflecting the adoption of ASU 2016-09, and shares outstanding are expected to be approximately 16.7 million at year end.
• Due to challenging and volatile conditions in the fuel ethanol market, ICP's level of profitability is expected to be modest in 2016.

For earnings history and earnings-related data on MGP Ingredients (MGPI) click here.