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Aug 27, 2023
General Mills Q1 2024 Earnings Report
Reported growth on the top and bottom lines amid an evolving external environment.
Key Takeaways
General Mills reported a 4 percent increase in net sales, reaching $4.9 billion, with organic net sales also growing by 4 percent. Diluted earnings per share (EPS) was $1.14, a 16 percent decrease, while adjusted diluted EPS was $1.09, a 1 percent decrease in constant currency. The company reaffirmed its full-year fiscal 2024 outlook.
Net sales increased 4 percent to $4.9 billion; organic net sales also grew 4 percent.
Operating profit was down 14 percent to $930 million; adjusted operating profit increased 2 percent in constant currency to $899 million.
Diluted EPS decreased 16 percent to $1.14; adjusted diluted EPS decreased 1 percent in constant currency to $1.09.
Company reaffirmed its full-year fiscal 2024 outlook.
General Mills
General Mills
General Mills Revenue by Segment
General Mills Revenue by Geographic Location
Revenue by Segment
North America Retail Revenue
CapyFin.comNorth America Foodservice Revenue
CapyFin.comInternational Revenue
CapyFin.comRevenue by Geographic Location
International Revenue
CapyFin.com Forward Guidance
General Mills reaffirmed its full-year fiscal 2024 financial targets. Organic net sales are expected to increase 3 to 4 percent. Adjusted operating profit and adjusted diluted EPS are each expected to increase 4 to 6 percent in constant currency. Free cash flow conversion is expected to be at least 95 percent of adjusted after-tax earnings.
Positive Outlook
- Organic net sales are expected to increase 3 to 4 percent.
- Adjusted operating profit is expected to increase 4 to 6 percent in constant currency.
- Adjusted diluted EPS is expected to increase 4 to 6 percent in constant currency.
- Free cash flow conversion is expected to be at least 95 percent of adjusted after-tax earnings.
- The company expects to drive organic net sales growth in fiscal 2024 through strong marketing, innovation, in-store support, and net price realization.
Challenges Ahead
- The net impact of divestitures and foreign currency exchange is expected to reduce full-year reported net sales growth by approximately one half of one percent.
- Input cost inflation is expected to be approximately 5 percent of total cost of goods sold.
- Economic health of consumers.
- Moderating rate of input cost inflation.
- Increasing stability of the supply chain environment.
Revenue & Expenses
Visualization of income flow from segment revenue to net income