Favorable price/mix, strong supply chain realized productivity and recent acquisitions are likely to the company’s results this quarter. Investors expect Conagra to report first-quarter results ahead of its adjusted EPS guidance of $0.46 to $0.49 and net sales growth estimate of 2% to 2.5%.
For the recent fourth-quarter results, Conagra posted a 54% dip in earnings due to tax expense. Net sales rose by 5.6% helped by the recent acquisitions and foreign exchange. Organic net sales rose 2% as both the domestic retail segments growth showed strength in pricing and mix.
For the fiscal year 2019, the company has guided sales growth of 0.5% to 1.5%. Meanwhile adjusted gross margin is expected to grow 29.7% to 30%. The company’s three-year standalone fiscal 2020 financial algorithm, which uses fiscal 2017 as the base year, remains on track.
Shares of Conagra were trading up 0.48% at $36.37 on the NYSE at 12:30 pm EDT. The stock has improved over 8% for the past year, while it had fallen over 3% year-to-date.