Hershey Q4 2019 Earnings Report
Key Takeaways
Hershey reported a 4.0% increase in consolidated net sales for Q4 2019, with organic, constant currency net sales up 1.9%. Reported net income decreased by 38.8% to $207.2 million, while adjusted earnings per share increased by 1.6% to $1.28. The company provided a 2020 full-year outlook, expecting net sales to increase by 2% to 4%.
Consolidated net sales increased by 4.0% to $2,068.1 million.
Organic, constant currency net sales increased by 1.9%.
Reported net income decreased by 38.8% to $207.2 million, or $0.98 per share-diluted.
Adjusted earnings per share-diluted increased by 1.6% to $1.28.
Hershey
Hershey
Hershey Revenue by Segment
Forward Guidance
Full-year reported net sales are expected to increase 2% to 4%. Full-year reported earnings per share-diluted are expected to be in the range of $6.04 to $6.20, an increase of 11% to 14% versus 2019. Full-year adjusted earnings per share-diluted are expected to be in the range of $6.13 to $6.24, an increase 6% to 8% versus 2019.
Positive Outlook
- Full-year reported net sales are expected to increase 2% to 4%.
- Acquisitions are expected to be a 1.0 point benefit to net sales growth.
- Full-year reported earnings per share-diluted are expected to be in the range of $6.04 to $6.20, an increase of 11% to 14% versus 2019.
- Full-year adjusted earnings per share-diluted are expected to be in the range of $6.13 to $6.24, an increase 6% to 8% versus 2019.
Challenges Ahead
- The impact of foreign currency exchange is expected to be slightly negative based on current exchange rates.
Revenue & Expenses
Visualization of income flow from segment revenue to net income