TreeHouse Foods Inc. (NYSE:THS) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.
TreeHouse Foods Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 17.46% to $0.74 in the quarter versus EPS of $0.63 in the year-earlier quarter.
Revenue: Rose 3.11% to $540.1 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: TreeHouse Foods Inc. reported adjusted EPS income of $0.74 per share. By that measure, the company beat the mean analyst estimate of $0.7. It missed the average revenue estimate of $557.07 million.
Quoting Management: “We are pleased to start 2013 with the best first quarter earnings in our history, having delivered top line growth and gross margin improvement, excluding restructuring charges,” said Sam K. Reed, Chairman, President and Chief Executive Officer. “Our North American Retail Grocery volume/mix increased nicely, up 2.8%, excluding the impact related to the previously-announced soup restructuring. In addition, all three of our reporting segments delivered direct operating income growth compared to last year.”
Key Stats (on next page)…
Revenue decreased 8.89% from $592.78 million in the previous quarter. EPS decreased 13.95% from $0.86 in the previous quarter.
Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.6 to a profit $0.63. For the current year, the average estimate has moved down from a profit of $3.11 to a profit of $3.08 over the last ninety days.
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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)