NYSE$HSY
Hershey Co · Q1 2020 earnings
Q1 2020 earnings · · Investor relations
Briefing
Net sales and earnings increased slightly, but operating profit decreased due to derivative losses and higher expenses. Full-year guidance was withdrawn due to COVID-19 uncertainty.
Hershey reported a slight increase in net sales for the first quarter of 2020, but experienced a decrease in net income and operating profit due to derivative mark-to-market losses and increased expenses. The company withdrew its full-year financial guidance due to the uncertainty surrounding the COVID-19 pandemic.
- Consolidated net sales increased by 1.0% to $2,037.3 million.
- Reported net income decreased by 11.0% to $271.1 million, or $1.29 per share-diluted.
- Adjusted earnings per share-diluted increased by 2.5% to $1.63.
- The company withdrew its fiscal 2020 full-year guidance due to the uncertainty of the COVID-19 pandemic.
Headline financials
Revenue & EPS history
Hershey · Revenue · Quarterly
$2.04B
Revenue by segment
Hershey · $2.04B total across 2 segments · Q1 2020
- North America$1.84B—90.6%
- International$192M—9.4%
Forward guidance
Due to the rapidly evolving situation and the high degree of uncertainty, the company does not believe that it can estimate the full financial impacts with reasonable accuracy, and therefore believes it is prudent to withdraw fiscal 2020 full-year guidance at this time. The company believes it has sufficient liquidity to satisfy its cash needs, as supported by access to bank lines of credit and an unsecured revolving credit facility. The company reaffirms its long-term financial objectives of net sales growth in the range of 2% to 4% and an increase in earnings per share of 6% to 8%.
Tailwinds
- Company believes it has sufficient liquidity to satisfy its cash needs.
- Access to bank lines of credit.
- Access to an unsecured revolving credit facility.
- Reaffirms its long-term financial objectives of net sales growth in the range of 2% to 4%.
- Reaffirms an increase in earnings per share of 6% to 8%.
Headwinds
- The length and severity of the pandemic and associated changes to consumer behaviors remain uncertain.
- Retail foot traffic and takeaway have been volatile.
- Consumer shopping and consumption behaviors are evolving in light of social distancing protocols.
- Company does not believe that it can estimate the full financial impacts with reasonable accuracy.
- Company withdraws fiscal 2020 full-year guidance.
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 2020
+0.3%
Avg return
Earnings day
+1.4%
Avg return
5 days after
+2.0%
Avg return
30 days after
54%
37 / 68 earnings
Positive
+9.0%
Q4 2025
Best reaction
-6.7%
Q4 2017
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -2.6% | -2.2% | +2.8% | |
| Q4 2025 | +9.0% | +11.3% | +9.3% | |
| Q3 2025 | -2.4% | -5.3% | +7.3% | |
| Q2 2025 | +1.4% | +2.2% | -1.3% | |
| Q1 2025 | -0.0% | +1.7% | -3.9% | |
| Q4 2024 | +4.4% | +8.5% | +26.8% | |
| Q3 2024 | -0.7% | +2.6% | -1.2% | |
| Q1 2024 | +0.3% | +2.1% | +1.0% | |
| Q3 2023 | -5.3% | -3.7% | -1.4% | |
| Q2 2023 | -2.0% | -4.1% | -9.6% | |
| Q1 2023 | +4.3% | +4.8% | -1.5% | |
| Q4 2022 | +4.9% | +5.2% | +5.8% | |
| Q3 2022 | -1.2% | -0.6% | +1.1% | |
| Q2 2022 | +4.5% | +5.0% | +4.8% | |
| Q1 2022 | +1.6% | -1.0% | -4.3% | |
| Q4 2021 | +2.1% | +4.3% | +7.2% | |
| Q3 2021 | -2.3% | -2.2% | -0.9% | |
| Q2 2021 | +1.3% | +1.9% | -0.5% | |
| Q1 2021 | +3.4% | +5.1% | +8.9% | |
| Q4 2020 | +0.0% | +2.1% | +2.6% | |
| Q3 2020 | +3.5% | +6.3% | +4.3% | |
| Q2 2020 | +5.2% | +5.3% | +6.5% | |
| Q1 2020 | -5.3% | -6.3% | -9.1% | |
| Q4 2019 | +2.7% | +0.9% | -4.7% | |
| Q3 2019 | -4.3% | -4.0% | -1.9% | |
| Q2 2019 | +4.2% | +3.7% | +7.0% | |
| Q1 2019 | +6.9% | +6.6% | +11.2% | |
| Q4 2018 | -0.8% | +0.5% | +6.3% | |
| Q3 2018 | -5.2% | -0.1% | -1.8% | |
| Q2 2018 | +4.5% | +5.8% | +7.5% | |
| Q1 2018 | -0.2% | -2.4% | -1.6% | |
| Q4 2017 | -6.7% | -8.2% | -10.4% | |
| Q3 2017 | -4.2% | -2.2% | -1.1% | |
| Q2 2017 | -0.9% | -2.0% | -2.1% | |
| Q1 2017 | -1.0% | -1.3% | +6.9% | |
| Q4 2016 | +1.7% | +1.3% | +2.9% | |
| Q3 2016 | +7.3% | +6.6% | +2.3% | |
| Q2 2016 | +2.4% | +3.7% | +2.5% | |
| Q1 2016 | -0.5% | — | — | |
| Q4 2015 | +4.4% | — | — | |
| Q3 2015 | -5.7% | — | — | |
| Q2 2015 | -0.4% | — | — | |
| Q1 2015 | -3.8% | — | — | |
| Q4 2014 | -5.1% | — | — | |
| Q3 2014 | -0.7% | — | — | |
| Q2 2014 | -1.6% | — | — | |
| Q1 2014 | -3.8% | — | — | |
| Q4 2013 | +2.8% | — | — | |
| Q3 2013 | +0.3% | — | — | |
| Q2 2013 | +1.7% | — | — | |
| Q1 2013 | -2.0% | — | — | |
| Q4 2012 | +0.4% | — | — | |
| Q3 2012 | +0.6% | — | — | |
| Q2 2012 | +0.2% | — | — | |
| Q1 2012 | +1.4% | — | — | |
| Q4 2011 | +0.3% | — | — | |
| Q3 2011 | -1.5% | — | — | |
| Q2 2011 | -0.8% | — | — | |
| Q1 2011 | +1.6% | — | — | |
| Q4 2010 | +2.7% | — | — | |
| Q3 2010 | -0.4% | — | — | |
| Q2 2010 | -0.6% | — | — | |
| Q1 2009 | -0.6% | — | — | |
| Q1 2010 | +0.4% | — | — | |
| Q2 2008 | +0.3% | — | — | |
| Q3 2009 | +0.3% | — | — | |
| Q3 2008 | +0.3% | — | — | |
| Q2 2009 | +1.5% | — | — |
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