- McCormick & Co Inc MKC expected Q3 FY22 revenue projected to increase about 3% year-on-year and 6% at constant exchange rates.
- The company said that growth in the third quarter is expected to be driven by an increase in its Consumer and Flavor Solutions segments.
- It projects operating income of $223 million for the third quarter, up from $265 million a year ago.
- McCormick expects third-quarter adjusted earnings per share of $0.65 versus $0.80 a year ago and consensus of $0.83.
- “Overall, our supply chain costs are taking longer than expected to normalize, which is putting pressure on gross margin,” said CEO Lawrence E. Kurzius.
- The company expects FY22 revenue growth of 3% to 5% in constant currency (previous guidance was growth of 5% to 7% in constant currency).
- It projects an 11% to 9% decline in FY22 adjusted operating income at constant exchange rates (the previous outlook was an increase of 2% to 4% at constant exchange rates).
- McCormick is forecasting FY22 adjusted earnings per share of $2.63 to $2.68 versus prior guidance of $3.03 to $3.08 versus consensus of $3.04.
- The company will release its Q3 results on October 6, 2022.
- Price promotion: MKC shares are trading 5.88% lower at $80.00 on the last check Thursday premarket.
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