McCormick & Co. Inc. (NYSE:MKC) delivered a profit and met Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.
McCormick & Co. Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 1.67% to $0.61 in the quarter versus EPS of $0.60 in the year-earlier quarter.
Revenue: Rose 1.89% to $1 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: McCormick & Co. Inc. reported adjusted EPS income of $0.61 per share. By that measure, the company missed the mean analyst estimate of $0.61. It missed the average revenue estimate of $1.01 billion.
Quoting Management: Alan D. Wilson, Chairman, President and CEO, commented, “In the second quarter of 2013, we grew sales for our consumer business 5% in local currency, led by product innovation, brand marketing support and distribution gains. We are getting good returns on our investments to grow this business and we plan to increase our investment in marketing support approximately $15 million in the second half of the year. Our industrial business grew sales to food manufacturers and food service distributors in the second quarter. While we had lower demand from quick service restaurants in North America and China, we expect this situation to improve in the fourth quarter based on our new product pipeline and latest outlook.
Key Stats (on next page)…