The Chicago-based company, whose brands include Birds Eye, Marie Callender's, Healthy Choice, and Slim Jim, reported net income of $173.8 million, or 36 cents a share, down from $178.2 million, or 45 cents a share, a year ago. Adjusted earnings were 43 cents a share, which beat analysts' expectations of 39 cents.
Sales totaled $2.39 billion from $1.82 billion a year ago, but fell short of Wall Street's call of $2.48 billion. The latest sales figure includes a 35.8% increase from the $10.9 billion acquisition of Pinnacle Foods, which the company completed in October 2018.
Conagra reaffirmed its 2020 guidance. The company expects net sales to grow 13.5% to 14%, with adjusted earnings per in the range of $2.08 to $2.18. Conagra ontinues to expect second half results to show stronger organic net sales growth and adjusted EPS growth than the first half.
"While our Foodservice and International businesses experienced unplanned softness on the top line this quarter, they outperformed our operating profit and margin expectations," said Sean Connolly, president and CEO, in a statement. "We believe the first quarter net sales issues in these segments were discrete and are now largely behind us."
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