Flowers Foods (NYSE: FLO) reported Q4 EPS of $0.17, $0.02 better than the analyst estimate of $0.15. Revenue for the quarter came in at $873.6 million versus the consensus estimate of $861.04 million.

Fourth Quarter Summary:Compared to the prior year fourth quarter where applicable

• Sales increased 0.6% to $873.6 million. Excluding sales related to a divestiture, sales increased 1.1%.
• Diluted EPS increased $0.31 to $0.37, including approximately $0.23 related to tax reform.
• Adjusted diluted EPS(1) was unchanged at $0.17.
• Net income increased $65.5 million to $78.5 million.
• Adjusted net income(1) decreased 2.1% to $35.8 million.
• Adjusted EBITDA(2) decreased 0.7% to $91.0 million.
• Adjusted EBITDA(2) margin decreased 10 basis points to 10.4% of sales.

For the 52-week Fiscal 2018, the Company Expects:

• Sales in the range of approximately $3.921 billion to $3.982 billion, representing growth of approximately 0.0% to 1.6%.
• Adjusted diluted EPS in the range of approximately $1.04 to $1.16, representing growth of approximately 16.9% to 30.3%. Adjusted EPS guidance includes approximately $0.15 to $0.17 related to the impact of the lower effective tax rate described below, and excludes consulting and restructuring costs associated with Project Centennial expected to be in the range of $12 million to $15 million.

The company's outlook includes the following assumptions:

• Sales associated with incremental brand investment relative to fiscal 2017 are expected to primarily benefit results in the second-half of fiscal 2018.
• Input cost inflation of approximately $40 million is expected to be offset through pricing actions taken in early first quarter fiscal 2018.
• Depreciation and amortization is forecasted to be in the range of $145 million to $150 million.
• Net interest expense is forecasted to be in the range of $11 million to $12 million.
• For the full year, the company expects an effective tax rate of approximately 25% to 26%, reflecting the effects of the new tax law. In the first quarter the tax rate will be approximately 27% due to the expected impact at vesting of stock-based compensation awards. The effective tax rate for the remaining quarters of the year is expected to be approximately 25%.
• Weighted average diluted share count for the year of approximately 211 million shares.
• Capital expenditures for the year are estimated to be in the range of $95 million to $105 million.

GUIDANCE:

Flowers Foods sees FY2018 EPS of $1.04-$1.16, versus the consensus of $0.96. Flowers Foods sees FY2018 revenue of $3.921-3.982 million, versus the consensus of $3.94 million.

For earnings history and earnings-related data on Flowers Foods (FLO) click here.