- General Mills Press Release (New York Stock Exchange: GIS): Q2 non-GAAP EPS of $1.25 beats by $0.09.
- Revenue of $5.1 billion (-2% YoY) fails for $260 million.
- Net sales decreased 2 percent to $5.1 billion, with lower pound volume partially offset by favorable net price realization and mix. Organic net sales were 2 percent below prior year results, which grew double digits; Organic net sales increased 4 percent on a 2-year compound growth basis.
- Outlook for FY24:
- Organic net sales are now expected to range between a 1 percent decline and flat, compared to the previous range of 3 to 4 percent growth, reflecting a slower volume recovery in fiscal 2024.
- Adjusted operating profit and adjusted diluted EPS are now expected to increase between 4 and 5 percent in constant currency, compared to the previous growth range of between 4 and 6 percent in constant currency, reflecting the impact of lower organic sales growth, largely offset by higher HMM cost. savings and further elimination of costs related to supply chain disruptions.
- Free cash flow conversion is still expected to be at least 95 percent of adjusted earnings after taxes.
- The net impact of divestitures and the foreign currency exchange rate is now expected to have an immaterial impact on reported full-year net sales growth, and the foreign currency exchange rate is still expected to have an impact. immaterial in adjusted operating income and adjusted diluted EPS growth.