NYSE$FLO

Flowers Foods · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Flowers Foods' Q2 2022 results reflected record sales and mitigated inflationary pressures through pricing and portfolio strategies.

Flowers Foods reported an 11.0% increase in sales to $1.129 billion for the second quarter of 2022. Net income decreased by 4.8% to $53.7 million, while adjusted diluted EPS decreased to $0.31. The company is increasing the bottom of its earnings outlook range for the fiscal year.

  • Sales increased 11.0% to $1.129 billion.
  • Net income decreased 4.8% to $53.7 million.
  • Diluted EPS decreased $0.01 to $0.25.
  • The company increased its dividend, repurchased shares, and invested in Base Culture.

Headline financials

Total Revenue

$1.13B

Previous: $1.02B+11.0%
EPS (adj)

$0.31

Previous: $0.32-3.1%
Sales Volume Change

-3.4%

Previous: -3.9%+12.8%
Sales Pricing/Mix Change

14.4%

Previous: 3.1%+364.5%
Capital Expenditures

-$97.9M

Previous: -$58.3M-67.9%
Free Cash Flow

-$44.2M

Previous: -$1.91M-2210.8%
Net Income

$53.7M

Previous: $56.4M-4.8%
Operating Income

$71.7M

Previous: $73.9M-3.0%
Gross Profit

$543M

Previous: $513M+5.8%
Cash & Equivalents

$163M

Previous: $292M-44.4%
Total Assets

$3.34B

Previous: $3.33B+0.4%
Stock-Based Comp

$5.56M

No prior period

Revenue & EPS history

Flowers Foods · Revenue · Quarterly

$1.13B

Q2 2022+11%vs Q2 2021
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Flowers Foods · $736M total across 1 segment · Q2 2022

  • Branded Retail
    $736M+9.1%

Forward guidance

For the 52-week Fiscal 2022, the Company expects sales in the range of approximately $4.764 billion to $4.850 billion, representing an increase of approximately 10.0% to 12.0% compared to the prior year period and Adjusted EPS in the range of approximately $1.25 to $1.30, compared to prior guidance of $1.20 to $1.30.

Tailwinds

  • Sales in the range of approximately $4.764 billion to $4.850 billion, representing an increase of approximately 10.0% to 12.0% compared to the prior year period.
  • Adjusted EPS in the range of approximately $1.25 to $1.30, compared to prior guidance of $1.20 to $1.30.
  • Depreciation and amortization in the range of $135 million to $145 million
  • Net interest expense of approximately $7 million
  • An effective tax rate in the range of 24.0% to 24.5%

Headwinds

  • Weighted average diluted share count for the year of approximately 213.5 million shares
  • Capital expenditures in the range of $150 million to $160 million, with $60 million to $70 million related to the ERP upgrade
  • Potential impacts of general economic and business conditions
  • The ultimate impact of the COVID-19 pandemic and future responses and/or measures taken in response thereto
  • Changes in pricing, customer and consumer reaction to pricing actions

Historical earnings impact

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

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

-1.7%

Avg return

Earnings day

-0.8%

Avg return

5 days after

-1.7%

Avg return

30 days after

40%

26 / 65 earnings

Positive

+10.8%

Q4 2014

Best reaction

-17.5%

Q4 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.5%+11.7%+11.3%
Q4 2025-8.7%-12.9%-22.6%
Q3 2025+1.9%-1.2%-7.5%
Q2 2025-5.3%-5.2%-17.1%
Q1 2025+1.5%-3.3%-6.4%
Q4 2024-1.3%-4.8%+0.3%
Q3 2024-2.1%-1.8%-0.4%
Q2 2024+1.5%+1.8%+2.3%
Q1 2024-4.2%-4.9%-12.5%
Q4 2023-4.2%-4.3%-0.9%
Q3 2023-6.9%-4.7%-2.0%
Q2 2023+3.9%+0.5%-7.2%
Q1 2023-9.2%-9.1%-12.9%
Q4 2022+0.2%+0.4%-0.9%
Q3 2022-5.4%-0.6%+1.6%
Q2 2022-0.2%+1.6%-3.2%
Q1 2022+4.5%+5.0%-2.8%
Q4 2021-1.2%-0.5%-13.9%
Q3 2021+2.3%+5.3%+1.7%
Q2 2021+5.7%+9.3%+2.3%
Q1 2021-2.1%-2.3%-3.8%
Q4 2020-0.1%-1.5%+3.0%
Q3 2020-2.4%-6.9%-7.2%
Q2 2020+2.3%+4.4%+3.4%
Q1 2020+1.6%+3.3%-1.0%
Q4 2019+0.4%+2.8%+7.8%
Q3 2019-1.1%+0.0%+3.6%
Q2 2019-4.7%-7.0%-5.5%
Q1 2019+7.1%+7.8%+9.6%
Q4 2018+1.5%+0.6%+1.6%
Q3 2018-1.1%+5.5%+0.8%
Q2 2018-6.0%-6.1%-1.5%
Q1 2018-10.2%-10.9%-5.6%
Q4 2017+5.6%+7.9%+13.4%
Q3 2017+2.6%+5.6%+13.2%
Q2 2017+0.0%+3.5%+2.0%
Q1 2017-6.6%-5.0%-9.9%
Q4 2016-8.3%-5.5%-5.5%
Q3 2016-0.5%+3.5%+23.3%
Q2 2016-15.8%-14.0%-17.7%
Q1 2016+1.5%
Q4 2015-17.5%
Q3 2015-12.8%
Q2 2015+6.4%
Q1 2015-2.7%
Q4 2014+10.8%
Q3 2014-2.2%
Q2 2014-3.6%
Q1 2014+3.0%
Q4 2013-4.5%
Q3 2013-8.9%
Q2 2013-3.1%
Q1 2013-2.0%
Q4 2012+1.1%
Q3 2012-1.5%
Q2 2012-4.0%
Q1 2012+6.7%
Q4 2009+1.5%
Q3 2011+0.7%
Q2 2011-11.7%
Q1 2011-0.4%
Q3 2010+0.7%
Q2 2010+0.2%
Q4 2010+0.2%
Q1 2010-0.1%

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