Flowers Foods Q2 2022 Earnings Report
Key Takeaways
Flowers Foods reported an 11.0% increase in sales to $1.129 billion for the second quarter of 2022. Net income decreased by 4.8% to $53.7 million, while adjusted diluted EPS decreased to $0.31. The company is increasing the bottom of its earnings outlook range for the fiscal year.
Sales increased 11.0% to $1.129 billion.
Net income decreased 4.8% to $53.7 million.
Diluted EPS decreased $0.01 to $0.25.
The company increased its dividend, repurchased shares, and invested in Base Culture.
Flowers Foods
Flowers Foods
Flowers Foods Revenue by Segment
Forward Guidance
For the 52-week Fiscal 2022, the Company expects sales in the range of approximately $4.764 billion to $4.850 billion, representing an increase of approximately 10.0% to 12.0% compared to the prior year period and Adjusted EPS in the range of approximately $1.25 to $1.30, compared to prior guidance of $1.20 to $1.30.
Positive Outlook
- Sales in the range of approximately $4.764 billion to $4.850 billion, representing an increase of approximately 10.0% to 12.0% compared to the prior year period.
- Adjusted EPS in the range of approximately $1.25 to $1.30, compared to prior guidance of $1.20 to $1.30.
- Depreciation and amortization in the range of $135 million to $145 million
- Net interest expense of approximately $7 million
- An effective tax rate in the range of 24.0% to 24.5%
Challenges Ahead
- Weighted average diluted share count for the year of approximately 213.5 million shares
- Capital expenditures in the range of $150 million to $160 million, with $60 million to $70 million related to the ERP upgrade
- Potential impacts of general economic and business conditions
- The ultimate impact of the COVID-19 pandemic and future responses and/or measures taken in response thereto
- Changes in pricing, customer and consumer reaction to pricing actions