Kraft Heinz Faces Revenue Slump In Q1, CEO Remains Optimistic On Growth Plan
Portfolio Pulse from Shivani Kumaresan
Kraft Heinz Company (NASDAQ:KHC) reported a 1.2% year-on-year decline in first-quarter FY24 revenue to $6.411 billion, missing analyst estimates of $6.429 billion. Despite the revenue slump, gross profit rose 6.2% to $2.24 billion, and operating income increased 4.7% to $1.3 billion. The company reaffirmed its FY24 adjusted EPS outlook of $3.01-$3.07 and organic revenue growth forecast of 0%-2%. Shares fell 4.43% in premarket trading.
May 01, 2024 | 1:09 pm
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Kraft Heinz's Q1 FY24 revenue fell short of estimates with a 1.2% decline, but reaffirmed its FY24 EPS and revenue growth outlook. Shares dropped 4.43% in premarket trading.
The revenue miss for Q1 FY24 is likely to negatively impact investor sentiment in the short term, as evidenced by the premarket trading drop. However, the company's reaffirmation of its FY24 outlook and the increase in gross profit may mitigate some concerns over the longer term.
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RELEVANCE 100