Kellogg Company: Q2-2019 financial results

Battle Creek / MG. (kc) Kellogg Company announced second-quarter 2019 results and and reaffirmed its full-year earnings guidance. Highlights:

• Net sales growth led by accelerated, broad-based organic growth.
• Completed previously announced divestiture and launched business realignment initiatives. Proceeds of approximately USD 1.3 billion will be utilized to reduce debt.
• As expected, higher input costs and effective tax rate contributed to lower earnings.
• Continued progress on strategic priorities, including a second wave of improved innovation, a packharmonization in U.S. cereal, momentum in key snacks brands, and further expansion in emerging markets.
• Reaffirmed earnings guidance for the full-year 2019 based on improved visibility around the recently closed divestiture and related transition. Updated cash flow guidance to reflect divestiture.

«This was another quarter in which we progressed solidly against our strategy and our 2019 plan, providing further, tangible evidence that Deploy for Growth is working,» said Steve Cahillane, Kellogg Company’s Chairman and Chief Executive Officer. «We delivered another quarter of net sales growth, featuring more and better innovation, momentum on revitalized snacks brands, better price realization, and continued expansion in emerging markets. We closed on a divestiture that improves our portfolio’s focus, growth profile, and profit margins. We took further steps to realign our business and restructure our organization for greater agility and cost efficiency. And we enter the second half with increased confidence that we will finish the year on our guidance.»

For detailed information please read the Company’s PDF file on the Company’s server.