Flowers Foods (NYSE: FLO) reported Q4 EPS of $0.18, $0.01 better than the analyst estimate of $0.17. Revenue for the quarter came in at $917.8 million versus the consensus estimate of $910.27 million.

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

• Sales increased 4.2% to $917.8 million; excluding the acquisition of Canyon Bakehouse, net sales increased 1.2%.
• Diluted EPS decreased $0.09 to $0.01.
• Adjusted diluted EPS(1) increased $0.02 to $0.18.

CEO's Remarks: Ryals McMullian, Flowers Foods\' president and CEO, said, "We are pleased to report solid fourth quarter performance and record sales and operating cash flow for the full year. In the quarter, results were better than expected, driven by continued top-line momentum and improved profitability. During the quarter, we saw growth from our key brands, made important progress in our portfolio and supply chain optimization efforts, and continued to invest in our team\'s capabilities. As a result, we ended the year on the right trajectory, demonstrating clear progress against our dual imperatives of sales growth and margin expansion."

McMullian continued, "Looking ahead, our 2020 plans engage the core value creation strategies we have put in place to focus on brands, manage costs, pursue smart acquisitions, and develop our team. We expect fiscal 2020 sales growth in-line with our long-term targets driven by the strength of our national brands and the expected stabilization and growth of our foodservice and cake businesses. We intend to drive earnings growth by executing against our initiatives to improve manufacturing efficiencies, optimize our portfolio and supply chain network, and reduce fixed costs. We made great strides in 2019 and are now moving aggressively to capture the opportunities we see in 2020 that we believe can enhance shareholder value."

GUIDANCE:

Flowers Foods sees FY2020 EPS of $1.00-$1.08, versus the consensus of $1.02. Flowers Foods sees FY2020 revenue of $4.206-4.289 billion, versus the consensus of $4.2 billion.

Fiscal 2020 Outlook:

For the 53-week fiscal 2020 the company expects

• Sales in the range of approximately $4.206 billion to $4.289 billion, representing growth of approximately 2.0% to 4.0%.
• Diluted EPS in the range of approximately $0.50 to $0.64, including charges related to the termination of a defined benefit pension plan in the range of $125 million to $143 million.
• Adjusted diluted EPS(1) in the range of approximately $1.00 to $1.08, representing growth of approximately 4.2% to 12.5%.

The company's outlook assumes the following:

• Depreciation and amortization in the range of $140 million to $145 million
• Other pension expense of approximately $2 million
• Net interest expense in the range of $8 million to $10 million
• An effective tax rate of approximately 24%
• Weighted average diluted share count for the year of approximately 212.5 million shares
• Capital expenditures for the year in the range of $105 million to $115 million

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