NASDAQ$MZTI

Marzetti Company/The · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Lancaster Colony's first quarter sales and earnings increased, driven by retail growth and new product contributions.

Lancaster Colony reported a 3.6% increase in consolidated net sales, reaching a record $349.2 million for the first quarter. Retail sales grew significantly due to higher at-home food consumption, while Foodservice sales declined due to the ongoing impact of COVID-19. The company's operating income decreased due to higher manufacturing costs and increased investments.

  • Consolidated net sales increased by 3.6% to a record $349.2 million.
  • Retail net sales grew by 16.6%, driven by increased at-home food consumption.
  • Foodservice net sales declined by 9.0% due to COVID-19 impacts.
  • Operating income decreased to $48.9 million due to higher manufacturing costs and increased investments.

Headline financials

Total Revenue

$349M

Previous: $337M+3.6%
EPS (adj)

$1.35

Previous: $1.58-14.6%
Foodservice volume change

-9.0%

No prior period
Capital Expenditures

-$14.4M

Previous: -$43.2M+66.6%
Free Cash Flow

$22.7M

Previous: -$2.44M+1027.5%
Net Income

$37.1M

Previous: $40.7M-9.0%
Operating Income

$48.9M

Previous: $51.7M-5.3%
Gross Profit

$92.7M

Previous: $92.1M+0.6%
Cash & Equivalents

$186M

Previous: $173M+7.3%
Total Assets

$1.02B

Previous: $962M+6.4%

Revenue & EPS history

Lancaster Colony · Revenue · Quarterly

$349M

Q1 2021+3.6%vs Q1 2020
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

Lancaster Colony · $349M total across 2 segments · Q1 2021

  • Retail
    $194M+16.6%
  • Foodservice
    $156M-9.0%

Forward guidance

The company expects continued growth in consolidated net sales in the fiscal second quarter, with Retail outpacing Foodservice. Manufacturing costs are anticipated to remain higher, driven by COVID-19 impacts and inflationary pressures for commodities and freight. Cost savings programs and net price realization are expected to help offset these higher costs. Project Ascent is progressing as planned, with implementation expected to commence in early fiscal 2022.

Tailwinds

  • Continued growth in consolidated net sales expected.
  • Retail sales expected to outpace Foodservice sales.
  • Cost savings programs to offset higher costs.
  • Net price realization to offset higher costs.
  • Project Ascent implementation on track for early fiscal 2022.

Headwinds

  • Manufacturing costs expected to remain higher.
  • COVID-19 impacts expected to continue.
  • Increasingly inflationary costs for commodities.
  • Increasingly inflationary costs for freight.
  • Unfavorable impacts of COVID-19 on manufacturing costs.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2021

Historical avgQ1 2021

-0.6%

Avg return

Earnings day

-0.1%

Avg return

5 days after

-0.5%

Avg return

30 days after

43%

28 / 65 earnings

Positive

+18.0%

Q4 2022

Best reaction

-15.6%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026-6.7%-8.6%-14.0%
Q2 2026-7.7%-11.0%-5.2%
Q1 2026+9.2%+9.0%+4.0%
Q3 2025-15.6%-16.3%-13.2%
Q2 2025+8.7%+13.3%+15.3%
Q1 2025-2.4%+3.4%+0.5%
Q4 2024-12.2%-15.2%-8.0%
Q3 2024+0.0%+1.2%-3.1%
Q2 2024+10.2%+5.2%+12.2%
Q1 2024-0.1%-0.9%-2.3%
Q4 2023-11.5%-9.6%-8.5%
Q3 2023+2.8%+1.7%-4.3%
Q2 2023-3.7%-4.5%-1.7%
Q1 2023+13.9%+18.3%+15.3%
Q4 2022+18.0%+15.4%+8.7%
Q3 2022-11.2%-7.9%-19.9%
Q2 2022-3.6%-1.6%+2.0%
Q1 2022-5.5%-4.4%-11.5%
Q4 2021-1.5%-3.0%-7.8%
Q3 2021-1.1%+0.4%+1.5%
Q2 2021+0.8%+3.6%+0.8%
Q1 2021-4.8%-4.9%-2.9%
Q4 2020+3.2%+4.7%+6.4%
Q3 2020+5.1%+8.4%+15.3%
Q2 2020-2.0%-0.5%-4.3%
Q1 2020+11.4%+11.9%+13.4%
Q4 2019-7.1%-5.3%-8.0%
Q3 2019-4.8%-3.2%-4.9%
Q2 2019+0.3%+0.1%+0.4%
Q1 2019+2.1%+8.3%+13.8%
Q4 2018+6.1%+6.2%+4.8%
Q3 2018-1.1%-1.7%-1.4%
Q2 2018-0.9%-2.4%-7.0%
Q1 2018+9.9%+5.2%+6.1%
Q4 2017-6.4%-5.3%-5.2%
Q3 2017-2.7%-4.7%-3.0%
Q2 2017-13.0%-11.8%-9.9%
Q1 2017-4.0%-4.6%+3.8%
Q4 2016+5.5%+6.1%+3.5%
Q3 2016+6.3%
Q2 2016-12.7%
Q1 2016+9.0%
Q4 2015+2.1%
Q3 2015-3.4%
Q2 2015-4.1%
Q1 2015+1.2%
Q4 2014-5.2%
Q3 2014-8.0%
Q2 2014+2.4%
Q1 2014-4.9%
Q4 2013-3.8%
Q3 2013+0.1%
Q2 2013-1.1%
Q1 2013-0.6%
Q4 2012+5.2%
Q3 2012+0.0%
Q2 2012+0.2%
Q1 2012+2.6%
Q4 2009-2.0%
Q4 2011-2.0%
Q3 2011+1.3%
Q2 2011+0.2%
Q4 2010-0.2%
Q1 2011-0.2%
Q3 2010+2.6%

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