Packaged Foods company Conagra Brands Inc. (NYSE: CAG) on Thursday said its first-quarter profit increased supported by a 10% revenue growth. Earnings also came in above the consensus forecast.
At $2.90 billion, first-quarter net sales were up 9.5% year-over-year. Gross profit benefited from higher organic net sales and supply chain realized productivity which more than offset the negative impacts of cost of goods sold inflation of 15%, unfavorable operating leverage, and continued elevated supply chain operating costs.
First-quarter net income, adjusted for special items, moved up to $0.57 per share from $0.50 per share in the same period of last year and topped expectations. On an unadjusted basis, meanwhile, the company reported a net loss of $77.5 million or $0.16 per share, compared to a profit of $235.4 million or $0.49 per share in the prior-year quarter.
Check this space to read management/analysts’ comments on Conagra Brands Q1 2023 earnings
“The strength of our brands and continued execution of the Conagra Way playbook resulted in strong sales and adjusted operating profit during the first quarter. We continued to deliver improved service and productivity as we navigate ongoing inflationary pressures and industry-wide supply chain challenges,” said Sean Connolly, chief executive officer of Conagra Brands.