General Mills Earnings: GIS Stock Slumps on Mixed Q3

General Mills (NYSE:GIS) earnings for the third quarter of 2020 have GIS stock falling on Wednesday afternoon. This comes after reporting revenue of $4.18 billion, which is just below Wall Street’s estimate of $4.21 billion. However, the company reported adjusted earnings per share (EPS) of 77 cents, while analysts were expecting adjusted per-share earnings of 76 cents for the quarter.

General Mills Earnings: GIS Stock Slumps on Mixed Q3

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The following is what else is worth mentioning from the most recent General Mills earnings report.

  • Adjusted EPS was down 7% from 83 cents during Q3 2019.
  • Revenue for the quarter comes in marginally lower compared to $4.2 billion during the same time last year.
  • Operating income of $650.8 million is slightly worse year-over-year than $651.3 million.
  • The General Mills earnings report also includes a net income of $454.1 million.
  • That’s 1.63% better than $446.8 million from the fourth quarter of 2018.

Jeff Harmening, chairman and CEO of General Mills, said this about the GIS stock earnings report:

“We began fiscal 2020 with three key priorities: accelerate our organic sales growth, maintain our strong margins, and reduce our leverage. Our focus and execution in a dynamic environment this year have kept us on track to achieve those goals. Our third-quarter results were broadly in line with our expectations, except for the negative impact in Asia of the COVID-19 virus outbreak.”

The General Mills earnings report also includes EPS guidance for fiscal year 2020. The company expects per-share earnings growth of 6% to 8%  from $3.22 for the year. This is an improvement from previous guidance regarding growth of 3% to 5%. Meanwhile, Wall Street is expecting EPS of $3.36 for FY2020.

GIS stock was down 5.24% as of Wednesday afternoon.

Nick Clarkson is a web editor at InvestorPlace. As of this writing, he did not hold a position in any of the aforementioned securities.

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