NYSE$GIS

General Mills Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Reported fiscal third-quarter results and raised full-year outlook.

General Mills reported solid execution in a volatile environment, with net sales essentially matching year-ago results at $4.5 billion and organic net sales up 4 percent. The company raised its full-year fiscal 2022 outlook, expecting strong growth in the fourth quarter.

  • Net sales essentially matched year-ago results at $4.5 billion; organic net sales were up 4 percent.
  • Diluted earnings per share (EPS) of $1.08 increased 13 percent from the prior year; adjusted diluted EPS of $0.84 increased 2 percent in constant currency.
  • Operating profit declined 1 percent to $815 million; adjusted operating profit was down 6 percent in constant currency
  • Company raises full-year fiscal 2022 outlook

Headline financials

Total Revenue

$4.54B

Previous: $4.52B+0.4%
EPS (adj)

$0.84

Previous: $0.82+2.4%
Organic Net Sales Growth

4.0%

Previous: 7.0%-42.9%
Capital Expenditures

-$351M

Previous: -$346M-1.2%
Free Cash Flow

$310M

Previous: $249M+24.2%
Net Income

$660M

Previous: $596M+10.8%
Operating Income

$815M

Previous: $827M-1.4%
Gross Profit

$1.4B

Previous: $1.55B-9.7%
Cash & Equivalents

$844M

Previous: $2.75B-69.3%
Total Assets

$31.1B

Previous: $32.6B-4.6%
Stock-Based Comp

$32.4M

Previous: $20.8M+55.8%

Revenue & EPS history

General Mills · Revenue · Quarterly

$4.54B

Q3 2022+0.4%vs Q3 2021
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

General Mills · $3.97B total across 3 segments · Q3 2022

  • N.A. Retail
    $2.81B+3.1%
  • International
    $721M
  • N.A. Foodservice
    $437M

Forward guidance

General Mills raised its guidance for fiscal 2022 to reflect year-to-date performance and an outlook for strong top- and bottom-line growth in the fourth quarter.

Tailwinds

  • Organic net sales are now expected to increase approximately 5 percent, including an expectation for organic net price realization and mix to increase sequentially from the third quarter to the fourth quarter.
  • Constant-currency adjusted operating profit is now expected to range between down 2 percent and flat, reflecting the increased guidance on organic net sales.
  • For the full year, the company continues to expect input cost inflation of 8 to 9 percent and significant costs related to supply chain disruptions.
  • Constant-currency adjusted diluted EPS are now expected to range between flat and up 2 percent, driven by the higher outlook on adjusted operating profit.
  • Free cash flow conversion is expected to be at least 95 percent of adjusted after-tax earnings.

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 Q3 2022

Historical avgQ3 2022

-0.2%

Avg return

Earnings day

-0.7%

Avg return

5 days after

-0.6%

Avg return

30 days after

42%

30 / 72 earnings

Positive

+8.5%

Q4 2016

Best reaction

-11.0%

Q3 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026
Q3 2026+0.0%-3.6%-8.4%
Q2 2026+2.9%+0.8%-5.3%
Q1 2026-0.9%+1.0%-2.4%
Q4 2025-1.2%-1.7%-3.9%
Q3 2025-2.1%-3.8%-4.8%
Q2 2025-2.9%-3.6%-9.6%
Q1 2025+0.5%-0.4%-6.1%
Q4 2024-5.3%-5.9%-1.4%
Q3 2024+0.2%+0.7%+2.6%
Q2 2024-3.7%-3.3%-5.3%
Q1 2024-0.6%-1.7%-4.0%
Q4 2023-5.7%-4.7%-6.7%
Q3 2023+6.2%+6.1%+9.5%
Q2 2023-2.0%-2.0%-11.1%
Q1 2023+7.1%+4.3%+2.2%
Q4 2022+7.4%+7.9%+6.4%
Q3 2022+5.9%+6.7%+15.7%
Q2 2022-3.1%-2.7%+1.0%
Q1 2022+3.9%+2.8%+8.1%
Q4 2021+0.3%+0.3%-1.9%
Q3 2021-2.7%+2.1%+0.1%
Q2 2021+0.8%-0.5%-4.5%
Q1 2021+1.2%+3.3%+6.5%
Q4 2020-0.3%+0.9%+2.6%
Q3 2020-10.0%-20.8%+1.7%
Q2 2020+2.0%+1.1%+3.2%
Q1 2020-1.2%-2.1%-4.5%
Q4 2019-2.8%-0.7%-0.1%
Q3 2019+5.9%+8.1%+9.5%
Q2 2019+6.5%+2.4%+18.4%
Q1 2019-7.3%-6.9%-8.6%
Q4 2018-3.0%-5.7%-2.3%
Q3 2018-11.0%-9.3%-13.1%
Q2 2018+3.3%+4.3%+2.6%
Q1 2018-6.7%-5.6%-6.1%
Q4 2017-1.0%-0.6%-0.3%
Q3 2017-2.2%-1.8%-3.9%
Q2 2017-1.1%-1.4%-2.2%
Q1 2017+0.6%-1.2%-6.2%
Q4 2016+8.5%+9.4%+9.3%
Q3 2016+0.9%
Q2 2016-3.8%
Q1 2016+1.1%
Q4 2015+2.4%
Q3 2015+0.9%
Q2 2015+4.7%
Q1 2015-3.7%
Q4 2014-3.1%
Q3 2014+0.7%
Q2 2014-0.4%
Q1 2014-1.9%
Q4 2013+0.0%
Q3 2013+3.1%
Q2 2013-0.5%
Q1 2013+2.9%
Q4 2012-0.9%
Q3 2012-0.4%
Q2 2012+1.4%
Q1 2012+5.4%
Q4 2011-0.4%
Q3 2011-1.0%
Q2 2011-0.8%
Q1 2011+1.3%
Q4 2008-1.4%
Q4 2010-1.4%
Q3 2009-3.3%
Q3 2010-3.3%
Q2 2010+0.8%
Q1 2010-0.8%
Q4 2009-0.8%
Q1 2009-0.8%
Q2 2009-0.8%

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