ConAgra Foods: reaffirms optimistic outlook despite profit plunge

Omaha / NE. (caf) ConAgra Foods Inc., one of North America´s leading food companies, reported results for the fiscal 2009 second quarter ended November 23, 2008 and confirmed that it expected total year diluted EPS from continuing operations to be slightly above 1,50 USD; excluding items that impact comparability. Diluted EPS from continuing operations was 0,38 USD for the quarter, an increase of 41 percent from prior-year levels of 0,27 USD. Overall sales grew eleven percent, reflecting the company´s pricing actions across all segments over the last few quarters. Excluding 0,05 USD per diluted share of net expense in the current quarter and 0,03 USD of expense in the prior-year quarter from items that impact comparability, diluted EPS from continuing operations in the current quarter was 0,43 USD; an increase of 43 percent from 0,30 USD in the year ago period.

Gary Rodkin, ConAgra Foods´ chief executive officer: «I am pleased to reconfirm our earnings outlook for fiscal 2009 given the dynamics of the current marketplace. Commercial Foods continued its outstanding top and bottom-line performance by managing volatile input costs through nimble pricing actions and operating excellence. We also substantially reduced operating costs through an over-delivery against cost savings targets in the Consumer Foods supply chain and successfully focused on SG+A expenses. While comparable Consumer Foods profits were down, we are confident that changes in our merchandising, slowing inflation, and other planned operating changes will reverse this trend in the back half of the year. Recent trends support our confidence for balance-of-year results» (complete press release).