Why TreeHouse Foods Shares Are Slumping Friday
Portfolio Pulse from Nabaparna Bhattacharya
TreeHouse Foods, Inc. (NYSE:THS) shares dropped after reporting mixed Q4 results and a FY24 outlook below expectations. The company's Q4 adjusted EPS was above consensus, but net sales missed estimates and decreased by 4.8% due to supply chain disruptions. Adjusted EBITDA and gross profit percentage also declined. TreeHouse Foods repurchased 1.2 million shares in Q4. The FY24 revenue outlook is below analyst estimates, attributed to efforts to restart a broth facility.
February 16, 2024 | 2:28 pm
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TreeHouse Foods shares slumped due to mixed Q4 results and a disappointing FY24 outlook, impacted by supply chain disruptions.
The drop in TreeHouse Foods' share price is directly related to its mixed Q4 earnings report and the lower-than-expected FY24 outlook. The company's struggles with supply chain disruptions, particularly in its broth facilities, have negatively impacted its sales and profitability, leading to a negative short-term impact on its stock price.
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