BATTLE CREEK (dpa-AFX) - Cereal maker Kellogg Co. (K) reported Thursday a profit for the fourth quarter that grew 23 percent from last year, reflecting sales growth amid higher prices. Both earnings per share and quarterly sales topped analysts' estimates, Kellogg also reaffirmed its earnings and sales growth guidance for the full-year 2012. The Battle Creek, Michigan-based maker of Rice Krispies, Pop-Tarts, Eggo waffles and Morningstar Farms brands reported net income of $232 million or $0.64 per share for the fourth quarter, up from $189 million or $0.51 per share in the prior-year quarter. On average, 19 analysts polled by Thomson Reuters expected the company to earn $0.62 per share for the fourth quarter. Analysts' estimates typically exclude special items. Net sales for the quarter grew 5.4 percent to $3.02 billion from $2.86 billion in the same quarter last year, and topped seventeen Wall Street analysts' consensus estimate of $2.99 billion. Internal net sales, excluding the effects of foreign currency translation, increased only 6 percent. Kellogg North America's fourth-quarter sales increased 6.6 percent year-over-year to $2.06 billion, and Kellogg's international sales grew 2.9 percent to $954 million from the year-ago quarter, while it was up 4.7 percent excluding currency impact. Operating profit for the quarter increased 20.3 percent to $397 million from last year. 'We are pleased to have again posted very strong revenue growth and we have continued to make the investments necessary for future growth. Without the impact of the compensation costs and the supply-chain investment, our underlying operating profit increased in line with the company's long-term target of mid single-digit growth,' President and CEO John Bryant said in a statement. For fiscal 2011, the company reported net income of $1.23 billion or $3.38 per share, compared to $1.25 billion or $3.30 per share in the prior year. Analysts expected the company to report earnings of $3.37 per share for fiscal 2011. Net sales for the full year grew 6.5 percent to $13.20 billion from $12.40 billion in the previous year. Street was looking for full-year 2011 revenues of $13.16 billion. Internal net sales increased by 4.5 percent. Looking ahead to fiscal 2012, the company reaffirmed its guidance for internal net sales growth, which is expected to increase by 4 to 5 percent, greater than long-term annual targets. The company also anticipates full-year currency-neutral earnings per share to grow between 2 and 4 percent. Street is currently looking for full-year 2012 earnings of $3.48 per share on annual revenues of $13.57 billion. 'We remain very pleased with our revenue growth and the underlying strength of our businesses. We participate in attractive categories and our brand-building and innovation programs are strong. While we recognize that 2011 and 2012 are transition years, we are confident that we are making the right investments in the company, and in future growth,' Bryant added. In Thursday's regular trading session, K is currently trading at $50.68, up $1.37 or 2.78% on a volume of 1.62 million shares.
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