General Mills has reported that its net earnings declined 16.3% to $459.3m for the first quarter of fiscal 2014, compared with $548.9m for the same period in 2013, as special items boosted its year-ago results.
Net sales, for the quarter ended 25 August, were up 7.9% to $4.37bn, compared with $4.05bn a year ago, with newly acquired businesses overseas contributing 5% points gain and increasing demand for yogurt products.
General Mills chairman and CEO Ken Powell said this performance represented a solid start to the new fiscal year.
"In particular, our net sales growth in the quarter reflects a healthy mix of gains from established brands, strong introductory shipments for new products, and contributions from new businesses added to our portfolio," Powell added.
"We continue to be excited about our 2014 business plans, which call for sales and earnings growth consistent with our long-term model, along with strong cash returns to shareholders through dividend growth and share repurchase activity."
General Mills reaffirmed its guidance for the full-year 2014, the company expects low single-digit growth in net sales, mid single-digit growth in segment operating profit, and adjusted diluted EPS of $2.87 to $2.90.
