In Brief
(Reuters) — Conagra Brands Inc. has forecast annual sales and profit below Wall Street estimates in a sign that the packaged food giant was facing resistance to higher prices from inflation-weary customers.
Persistent inflation has eroded budgets in many households and forced consumers to trade down from branded packaged food products to cheaper private-label alternatives, hurting companies that have been steadily raising product prices during the past few years.
Net sales in the quarter rose 2.2 percent to US$2.97 billion, below analysts’ average estimate of $2.99 billion estimate, according to Refinitiv IBES estimates.
It forecast fiscal 2024 adjusted earnings per share of $2.70 to $2.75, compared with analysts’ average estimate of $2.85 per share.
