New businesses and global sales boost General Mills
MINNEAPOLIS — New businesses, including Yoki Alimentos in Brazil and Yoplait International, as well as contributions from international sales contributed to an 18% increase in income during fiscal 2013 at General Mills, Inc.
For the year ended May 26, the company had earnings of $1,855.2 million, equal to $2.86 per share on the common stock, which compared with $1,567.3 million, or $2.42 per share, during fiscal 2012. Sales for the year were $17,774.1 million, up 7% from $16,657.9 million.
“Our 2013 results reflect good growth from established product lines and important contributions from new businesses added during the year,” said Ken Powell, chairman and chief executive officer. “Each of our three operating segments posted profit growth. Our cash flow from operating activities rose 22%, and we returned nearly $1.9 billion in cash to shareholders through dividends and share repurchase activity. In addition, we exited the year with momentum that enabled us to finish 2013 a bit better than our original estimates.”
The U.S. Retail segment had an operating profit of $2,392.9 million during the year, up 4% from $2,295.3 million during fiscal 2012. Sales for the segment were $10,614.9 million, up 1% from $10,480.2 million.
General Mills said new items such as Honey Nut Cheerios Medley Crunch cereal, Yoplait Greek 100-calorie yogurt and Nature Valley Protein Bars helped key the gains in the U.S. Retail segment during fiscal 2013.
The International segment had operating profit of $490.2 million, up 14% from $429.6 million. The segment had sales of $5,200.2 million, up 24% from $4,194.3 million during the previous year. During fiscal 2013, the International segment benefitted from double-digit growth in Haagen-Dazs ice cream and Wanchai Ferry frozen dim sum in China, as well as the newly acquired Yoki and Kitano brands in Brazil.
Operating profit within the Bakeries and Foodservice segment was $314.6 million in fiscal 2013, up 10% from $286.7 million during the previous year. The segment had sales of $1,959 million, down 1% from $1,983.4 million. Chex Mix snack varieties, Pillsbury heat-and-serve breakfast items and Yoplait Parfait Pro Greek yogurt were key contributors during the year, the company said.
For the fourth quarter ended May 26, the company as a whole saw earnings rise 13% to $366.3 million, or 57c per share, which compared with $325.4 million, or 50c per share, during the same quarter of the previous year. Sales for the quarter were $4,410.7 million, up 9% from $4,066.4 million.
The company said it expects fiscal 2014 adjusted diluted earnings per share to be in the range of $2.87 to $2.90 per share.