ConAgra Foods Sees Tasty 2010 - TheStreet

ConAgra Foods Sees Tasty 2010

ConAgra Foods posts second-quarter fiscal 2010 results that beat Wall Street estimates, evidence that consumers are eating at home more during the recession.
Author:
Publish date:

Omaha, Neb. (

TheStreet

) -- ConAgra Foods, a leading packaged-foods company, posted second-quarter fiscal 2010 results that beat Wall Street estimates as consumers ate at home more during the recession.

A Thomson Reuters' poll of analysts had expected earnings of 47 cents per share.

ConAgra, which own leading food brands including Marie Callender's, Slim Jim and Healthy Choice, reported earnings of $239.7 million or 54 cents per share in the quarter ended November 29, which is 43% more than the $168.1 million or 37 cents per share figure reported in the same quarter last year. During the second quarter, ConAgra also benefited from lower commodity costs for food ingredients.

However, ConAgra's sales fell $3.2 billion, down 2.5% from $3.3 billion in the previous year. The company's sales results had experienced a 1% negative impact from lower sales of Slim Jim products as the brand continues to recover. ConAgra said that SKU (stock-keeping units) rationalization also hurt sales by 1%.

ConAgra has raised its fiscal 2010 full-year diluted EPS from continuing operations, excluding one-time items, to $1.73 from the $1.70 figure it provided in the previous quarter.

ConAgra

(CAG) - Get Report

stock is up 0.2% at $22.20, while competitor

Heinz

(HNZ)

has risen 0.7% at $42.30.

Kraft

(KFT)

shares have lost 0.1% to $27.

General Mills

(GIS) - Get Report

stock is up 0.5% to $69.30.

-- Reported by Andrea Tse in New York

>>See our new stock quote page.

Follow TheStreet.com on

Twitter

and become a fan on

Facebook.

Copyright 2009 TheStreet.com Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.