- Post Holdings‘ total net sales for the third quarter were $1.98 billion, exceeding the estimate of $1.96 billion and showing a 1.9% increase year-over-year.
- Net sales for Post Consumer Brands were $914.0 million, which is a 9.3% decrease year-over-year and below the expected $946.8 million.
- Weetabix reported net sales of $137.9 million, a slight increase of 1.3% year-over-year, though slightly below the estimate of $140.5 million.
- Foodservice sales surged with net sales of $698.5 million, marking a 19% year-over-year increase and beating the estimate of $651.5 million.
- Refrigerated Retail net sales reached $233.9 million, rising 9.1% year-over-year and surpassing the projected $221.8 million.
- Adjusted earnings per share stood at $2.03, compared to $1.54 in the previous year.
- Gross profit amounted to $596.2 million, a 3.3% increase year-over-year, exceeding the estimate of $581.7 million.
- Net income was reported at $108.8 million, up 9% from the previous year and above the estimated $105.3 million.
- Adjusted EBITDA was $397.0 million, increasing by 13% year-over-year, and higher than the estimated $368.6 million.
- For fiscal year 2025, Post Holdings raised its Adjusted EBITDA outlook to a range of $1,500-$1,520 million.
- Capital expenditures for fiscal year 2025 are projected to be between $450-$480 million, including significant investments in network optimization, plant closures, and pet food safety and capacity.
- Post Holdings increased its guidance range for fiscal year 2025 Adjusted EBITDA from $1,460-$1,500 million to $1,500-$1,520 million, including contributions from 8th Avenue.
- Analyst recommendations include 7 buys, 3 holds, and no sells.
Post Holdings on Smartkarma
Analysts at Baptista Research on Smartkarma recently provided insight into Post Holdings, a consumer packaged goods company specializing in ready-to-eat cereals and refrigerated foods. In their research report titled “Post Holdings: Ready-to-Drink (RTD) Shakes Expansion As A Key Contributor To The Company’s Greater Portfolio Performance!”, the analysts highlighted the company’s second-quarter fiscal 2025 earnings, showcasing a focus on navigating complex market conditions. Despite a 2% decline in consolidated net sales and adjusted EBITDA reaching $347 million, the report sheds light on key financial performance metrics driving Post Holdings‘ current and future business trajectory.
In another report titled “Post Holdings Powers Up Its Sides Game—Can This Move Rescue Refrigerated Retail?”, Baptista Research analysts explored Post Holdings‘ first quarter fiscal 2025 results. They noted a blend of strengths and challenges, with a cautiously optimistic tone amid external uncertainties. The positive start to the fiscal year was attributed to effective cost management and a diverse portfolio. Successful ERP conversions at PCB Pet and Weetabix underscored the company’s skill in project management, contributing to operational stability and averting anticipated setbacks. These insights provide valuable perspectives on Post Holdings‘ strategic moves and growth potential within the competitive consumer goods market.
A look at Post Holdings Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 1 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Post Holdings Inc., a food company known for its wide range of ready-to-eat cereal products, is set to see a positive long-term outlook according to Smartkarma Smart Scores. With a strong Value score of 4, Post Holdings is deemed to be attractively priced compared to its intrinsic value. However, the company’s Dividend score of 1 suggests that it may not be a significant income generator for investors. In terms of Growth, Resilience, and Momentum, Post Holdings scores moderately with scores of 3 across the board. This indicates that while the company may not be experiencing explosive growth, it is maintaining a steady performance and market presence.
Overall, Post Holdings appears to have a favorable outlook for the future, supported by its strong Value score and decent scores in Growth, Resilience, and Momentum. Investors looking for a well-priced investment opportunity in the food industry might find Post Holdings an appealing option. Given its focus on ready-to-eat cereal products, Post Holdings is positioned in a stable market segment that could provide a solid foundation for long-term growth and sustainability.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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