General Mills said its turnaround is progressing, with first-quarter profit and sales declines that were less steep than the company and Wall Street expected. Sales for the quarter ended Aug. 30 fell 2.8% to $4.39 billion, ahead of Wall Street models for $4.35 billion, according to FactSet, a decline the company attributed primarily to the sale of its U.S. yogurt business last year; on an organic basis, sales were essentially flat. Adjusted earnings came in at 75 cents a share, ahead of Wall Street models for 72 cents a share, while profit was $397 million, down from $1.2 billion a year earlier. Chief Operating Officer Dana McNabb said the company's full focus this year is on accelerating product innovation and renovation, supported by stepped-up marketing, new agency partners, a next-generation content studio and doubled use of influencers. General Mills said it remains on track to deliver $750 million in savings this year and $3 billion by 2030, and backed its full-year outlook for adjusted earnings of $3 to $3.20 a share, against analyst expectations of $3.07 a share.
General Mills IncQ1 adjusted EPS of 75 cents beat the 72-cent consensus and the company backed its full-year earnings outlook
FactSet Research Systems Inc