Hillshire Brands Delivers Strong Second Quarter

The Hillshire Brands Company (NYSE: HSH) today reported earnings for the second quarter and first half of fiscal year 2013.

Second Quarter Highlights (continuing operations)

• Adjusted ¹ diluted EPS increased $0.14 to $0.62; reported diluted EPS increased $0.38 to $0.47
• Adjusted and reported net sales increased by 2.5% and 0.7%, respectively, to $1.06 billion
• Adjusted operating income increased $26 million to $127 million; reported operating income increased $76 million to $99 million
• Full year 2013 guidance raised – new adjusted diluted EPS range of $1.60-$1.70

CEO Perspective

“Our business is continuing to perform well and I am very pleased with the progress we’re making,” said Sean Connolly, president and chief executive officer, The Hillshire Brands Company. “Our investment in MAP is strengthening our core brands, our innovation pipeline is becoming more robust, and we remain highly focused on managing costs. We also clearly benefited from favorable input costs, an area that we expect to become more challenging in calendar year 2013. Based on our strong first half results, and taking into account our outlook for the rest of the year, we are raising full year EPS guidance.”

Key Financial Data, Continuing Operations
$ in millions, except per share
		Second Quarter								First Half
		2013			2012			% Change		2013			2012			% Change
Adjusted Net Sales		$	1,060		$	1,035		2.5%		$	2,034		$	1,988		2.3%
Reported Net Sales			1,060			1,053		0.7%			2,034			2,040		(0.3)%
Adj. Operating Income			127			101		25.8%			228			158		44.2%
Rep. Operating Income			99			23		NM			183			47		NM
Adj. Diluted EPS			0.62			0.48		29.2%			1.10			0.74		48.6%
Rep. Diluted EPS			0.47			0.09		NM			0.87			0.13		NM

Discussion of Second Quarter Continuing Operations Results

For the second consecutive quarter, Hillshire Brands posted increases in adjusted net sales and adjusted operating income versus the prior year quarter. The business has responded well to increased MAP investment and has also benefitted from deflationary input costs.

1 2 3 4 5 6 Next › Last »