Shares of General Mills, Inc. (NYSE:GIS) ended Monday session in red amid volatile trading. The shares closed down -0.75 points or -1.16% at $63.90 with 3.18 million shares getting traded. Post opening the session at $64.45, the shares hit an intraday low of $63.80 and an intraday high of $64.48 and the price vacillated in this range throughout the day. The company has a market cap of $37.55 billion and the numbers of outstanding shares have been calculated to be 591.38 million shares.
General Mills, Inc. (GIS) on Sept. 21, 2016 reported results for the first quarter ended August 28, 2016.
First Quarter Results Summary
- Reported net sales declined 7 percent to $3.9 billion due to lower organic net sales, the divestiture of the North American Green Giant business, and the impact of foreign exchange. Organic net sales declined 4 percent, with increases in U.S. natural and organic brands and emerging markets more than offset by declines in Foundation businesses and U.S. Yogurt.
- Gross margin decreased from 36.9 percent to 36.3 percent of net sales. Adjusted gross margin, which excludes mark-to-market effects and certain other items affecting comparability, decreased 30 basis points from last year’s result that was up 290 basis points.
- Operating profit totaled $646 million, down 6 percent compared to the prior year. Operating profit margin increased 30 basis points to 16.5 percent of net sales. Adjusted operating profit margin increased 80 basis points to 19.2 percent of net sales.
- Total segment operating profit of $787 million was down 5 percent. Total segment operating profit was down 4 percent in constant currency, reflecting lower net sales.
- Net earnings attributable to General Mills totaled $409 million and diluted earnings per share (EPS) were $0.67, down 3 percent from $0.69 a year ago.
- Adjusted diluted EPS, which excludes certain items affecting comparability of results, totaled $0.78 in the first quarter, down 1 percent from the prior year. Constant-currency adjusted diluted EPS were also down 1 percent.
“Our first-quarter profit margin expansion and EPS results reflect continued good progress on our productivity and cost-savings initiatives,” said General Mills Chairman and Chief Executive Officer Ken Powell. “However, our net sales performance did not meet our expectations due to the challenging macro environment, a difficult year-over-year comparison, and a slower start to the year on certain businesses. We are taking actions to improve our net sales performance going forward, leveraging our Consumer First focus. At the same time, we have a number of encouraging examples across our global portfolio where our efforts to adapt to evolving consumer interests are driving positive results.”
Shares of Coca-Cola European Partners plc Ordinary Shares (NYSE:CCE) ended Monday session in red amid volatile trading. The shares closed down -0.71 points or -1.76% at $39.52 with 3.07 million shares getting traded. Post opening the session at $39.95, the shares hit an intraday low of $39.39 and an intraday high of $40.07 and the price vacillated in this range throughout the day. The company has a market cap of $19.41 billion and the numbers of outstanding shares have been calculated to be 482.55 million shares.
Coca-Cola European Partners plc Ordinary Shares (CCE) on September 22, 2016 announced its interim results for the six months ended 1 July 2016 and affirms full-year 2016 earnings outlook
- First-half diluted earnings per share were €0.74 on a reported basis or €0.83 on a pro forma comparable basis, including a negative currency translation impact of €0.02.
- First-half reported revenue totaled €3.5 billion. Pro forma comparable revenue was €5.2 billion, down 3 per cent, or down 1.5 per cent on a pro forma comparable and fx-neutral basis. Volume declined 1.0 per cent on a comparable basis.
- First-half reported operating profit was €314 million; pro forma comparable operating profit was €603 million, down 2.5 per cent or flat on an fx-neutral basis.
- CCEP provides its full-year guidance for 2016, including pro forma comparable, fx-neutral diluted earnings per share growth in a mid-teen range, with flat revenue growth and modest mid-single-digit operating profit growth.
- CCEP remains on track to achieve pre-tax savings of €315 million to €340 million through synergies by mid-2019.
- CCEP declares initial quarterly dividend of €0.17 per share.
“Since the creation of Coca-Cola European Partners nearly four months ago, our strong belief in the future of our new company has been reinforced,” said John F. Brock, chief executive officer. “We are making significant progress to integrate the new business, share best practices and become even more effective and efficient.
“Our first-half results reflect the continued impact of a soft consumer environment and persistent economic challenges,” Mr. Brock said. “These conditions support our focus on executing against our outstanding marketing programmes, improving our operational effectiveness and integrating CCEP to capture synergies as we work to reach our full-year 2016 performance objectives.”
“Ultimately, our focus remains on our most important goal – continuing to drive shareowner value, while maintaining a strong commitment to the communities we serve,” Mr. Brock said.