McCormick Posts Profit Beat, Spices Up Full-Year Earnings Outlook
Spice maker McCormick (MKC – Get Report) on Tuesday reported fiscal third-quarter adjusted earnings ahead of analysts’ forecasts and raised its full-year earnings guidance amid strong demand for its spices, seasonings and condiments, particularly in North America and Asia.
The Hunt Valley, Md.-based company posted adjusted net income of $196.5 million, or $1.46 a share, in its fiscal quarter ended Aug. 31, vs. $170 million, or $1.28 a share, in the comparable year-ago period. Analysts polled by FactSet had been expecting earnings of $1.29 a share.
Sales came in at $1.33 billion, in line with analysts’ forecasts and above the $1.31 billion it brought in a year ago.
For its full fiscal year, the company said it is now projecting adjusted earnings per share in the range of $5.30 to $5.35, up from previous guidance of between $5.20 and $5.30 and above the $4.97 a share it posted in 2018. Analysts polled by FactSet are currently forecasting full-year per-share earnings of $5.27.
Operating income in 2019 is expected to grow 8% to 9%, the company said.
Shares of McCormick were up 2.67%, or $4.18 a share, at $160.48 in morning trading on Tuesday.