General Mill fiscal Q1 income fell 3.6% amid as its commodity hedges fell in value. Revenue rose 14% to $3.5 billion as the company benefited from cash strapped families preferring to stay at home to eat. Margins remained under pressure falling to 34.1% from 37.6%.
General Mills reported at 17% drop in net on reduced gains from hedging. The latest report did contain a few bright spots however. The company's price increases and hedging strategies are offsetting rising input costs. International sales also surged 21% on strong organic growth and a weaker dollar.
General Mills reported profit climbed 61 percent in the third quarter to $430.1 million from $267.5 million a year earlier. The company benefited from strong demand, price increases and commodity hedges which more than offset the impact of rising prices for grains.
General mills reported a 1.3% increase in Q2 net income to $390.5 million, or $1.14/share, beating estimates by a penny. Sales rose nearly 7% to $3.7B.
General Mills issues its Q1 earnings report. Net sales grew 7%; segment operating profit increased 9%; earnings after tax rose 8%; and earnings per share grew 9% to reach $0.81 for the quarter.
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