Flowers Foods, Inc. (NYSE: FLO) today reported financial results for the company’s 12-week third quarter ended October 5, 2024.
Third Quarter Summary:
Compared to the prior year third quarter where applicable
- Net sales(1) decreased 0.7% to $1.191 billion as positive pricing/mix was more than offset by volume declines.
- Net income increased $111.7 million to $65.0 million, primarily due to growth in operating income from a decrease in legal settlements and related costs, partially offset by higher net interest expense. Adjusted net income(2) increased 12.4% to $69.3 million.
- Adjusted EBITDA(2) increased 10.0% to $133.3 million, representing 11.2% of net sales, a 110-basis point increase.
- Diluted EPS increased $0.53 to $0.31. Adjusted diluted EPS(2) increased $0.04 to $0.33.
Chairman and CEO Remarks:
“Strong performance by our leading brands and successful execution of our cost initiatives and portfolio strategy drove better-than-expected earnings in the third quarter,” said Ryals McMullian, chairman and CEO of Flowers Foods. “We handily outpaced the bread category, growing tracked channel sales in both units and dollars. Those results were achieved despite headwinds from a pressured consumer, which also particularly impacted our sweet baked goods and fast food businesses. Additionally, implementation of our portfolio strategy enhanced performance in our away-from-home business, improving profitability of existing business and adding higher margin new accounts.
“We are narrowing our 2024 financial outlook to reflect greater certainty as we enter the fourth quarter and strong relative performance in the branded retail bread category, partially offset by headwinds from consumer and promotional behavior. We also expect continued benefits from new business wins and efficiency initiatives.
About Flowers Foods
Headquartered in Thomasville, Ga., Flowers Foods, Inc. (NYSE: FLO) is one of the largest producers of packaged bakery foods in the United States with 2023 net sales of $5.1 billion. Flowers operates bakeries across the country that produce a wide range of bakery products. Among the company’s top brands are Nature’s Own, Dave’s Killer Bread, Wonder, Canyon Bakehouse, and Tastykake. Learn more at www.flowersfoods.com.
Investor Contact: Eric Jacobson, InvestorRelations@flocorp.com
Media Contact: flowersfoods.com/contact