Heinz anticipates sales growth of 14% in quarter
February 15, 2008
by FoodBusinessNews.net Staff
PITTSBURGH — The H.J. Heinz Co. anticipates operating income increased 8% during the third quarter ended Jan. 30. The growth was driven by momentum in the North American Consumer Products, Europe, Asia/Pacific and Rest of the World segments.
The company also expects sales growth of about 14% for the quarter. Heinz will release third-quarter results on Feb. 26.
Heinz faced high commodity cost inflation, which will be reflected it the quarter, but the company said it is working to overcome higher costs with higher net pricing, productivity gains and favorable foreign exchange. International growth has been contributing to results as 60% of sales are being generated outside the United States.
The company predicted third-quarter earnings per share to be in the range of 67c to 68c per share.
The company believes it will achieve full-year e.p.s. growth of 9% to 10% compared with last year. Given this, Heinz said it expects a full-year e.p.s. in the range of $2.60 to $2.62. The company originally announced its guidance in the range of $2.54 to $2.60 per share.