Conagra Brands Reports First Quarter Results
Conagra reported Q1 FY27 net sales of $2.6 billion, down 1.4% YoY, with organic net sales down 1.1% on a 2.1% volume decline. Profitability improved despite softer sales: GAAP diluted EPS rose 5.9% to $0.36 and adjusted EPS rose 5.1% to $0.41, helped by lower adjusted SG&A and a 71.8% jump in Ardent Mills equity earnings. Adjusted EBITDA increased 2.4% to $451 million. Free cash flow was negative $128 million versus negative $26 million a year ago, driven by lower operating profit and higher litigation payments, though net debt fell 2.5% to $7.4 billion (3.99x leverage).
Key figures
- Eps
- 0.36
- Revenue
- 2595900000
- Guidance
- FY27 organic net sales (3)% to (1)%, adjusted operating margin 10.0%-10.5%, adjusted EPS $1.40-$1.50 (reaffirmed)
- Revenue Yoy
- -1.4%
- Net debt
- 7400000000
- Volume yoy
- -2.1%
- Adjusted eps
- 0.41
- Adjusted ebitda
- 451000000
- Adjusted eps yoy
- 5.1%
- Dividend per share
- 0.35
- Net leverage ratio
- 3.99
- Organic net sales yoy
- -1.1%
- Adjusted operating margin
- 11.5%
AI analysis
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