Marzetti Company/The · Q2 2024 earnings

Briefing

Lancaster Colony reported record sales and profit, driven by growth in both Retail and Foodservice segments.

Lancaster Colony Corporation reported a 1.8% increase in consolidated net sales, reaching a second quarter record of $485.9 million. The company's net income increased to $1.87 per diluted share, driven by growth in both the Retail and Foodservice segments and improved gross profit margin.

• Consolidated net sales increased by 1.8% to a record $485.9 million.
• Retail net sales grew by 2.0% to $264.0 million, driven by licensing program, frozen garlic bread, and frozen egg noodles.
• Foodservice net sales increased by 1.5% to $221.9 million, led by higher demand from national chain restaurants.
• Consolidated operating income increased by 28.1% to a record $65.8 million.

Headline financials

Revenue & EPS history

Looking ahead to the fiscal third quarter, the company projects Retail sales will continue to benefit from the licensing program and expects sustained volume growth from quick-service restaurant customers in the Foodservice segment. Continued favorability is anticipated in pricing net of commodity costs, though at a sequentially lower level, while deflationary pricing is expected to remain a headwind to Foodservice segment net sales.