Post Holdings, a leading consumer packaged goods company, has reported slightly lower earnings for the first quarter ended December 31. Despite this, the company experienced a surge in sales due to recent acquisitions.
Financial Performance
In the first quarter, Post Holdings recorded earnings of $88.1 million, or $1.35 per share. This is down from $91.9 million, or $1.52 per share, compared to the same period last year. However, adjusted earnings stood at $1.69 per share, surpassing analysts’ estimates of $1.12 per share.
Sales Growth
Sales for the quarter reached $1.97 billion, showing a significant increase from $1.57 billion in the prior year. Analysts polled by FactSet had expected sales of $1.92 billion.
Influence of Acquisitions
The sales figure included $428.9 million generated from recent acquisitions. Notably, Post Holdings entered the pet-food market through its acquisition of multiple brands from J.M. Smucker for $1.2 billion. The deal, which was announced in February 2023, was finalized on April 28.
Revised Outlook
Post Holdings has raised its forecast for adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) for the current fiscal year. The company now expects EBITDA to range between $1.29 billion and $1.34 billion. This represents an increase from its previous guidance of $1.22 billion to $1.28 billion.