Kellogg (K) reported earnings on Tue 31 Oct 17 (b/o)

** charts before earnings **

 

** charts after earnings **

 

Kellogg beats by $0.11, beats on revs; reaffirms FY17 EPS above consensus, revs below consensus 

• Reports Q3 (Sep) earnings of $1.05 per share, excluding non-recurring items, $0.11 better thanthe Capital IQ Consensus of $0.94; revenues rose 0.6% year/year to $3.27 bln vs the $3.22 bln Capital IQ Consensus.
• Co reaffirms guidancefor FY17, sees EPS of $4.03-4.09, excluding non-recurring items, vs. $3.97 Capital IQ Consensus Estimate; continues to see FY17 revs declining (3%), which equates to ~$12.62 bln vs. $12.73 bln Capital IQ Consensus Estimate
• The co also affirmed its guidance for 2017 cash flow. Specifically, it forecasts cash from operating activities should be approximately $1.6-1.7 billion, which after capital expenditure translates into cash flow of $1.1-1.2 billion.
• "We are encouraged that we remain on track to deliver on our 2017 financial guidance, even amidst challenging industry conditions," added Mr. Cahillane. "Going forward, strong productivity programs give us good visibility into cost savings, and we will continue to transform and drive this business back to top-line growth."