US: China slowdown hits Mead Johnson Q3
- Net profit down 3%
- EBIT drops 11.8%
- Sales slip to $921.3m
Mead Johnson said it entered the third quarter with “lower market share as well as distributors carrying higher inventories in China”
US infant formula group Mead Johnson has booked an drop in third-quarter earnings, hurt by a slowdown in China.
In the three months to the end of September, the company earned US$140.4m, down 3% on the prior year period. EBIT fell 11.8% to $166.3m.
Sales slipped to $921.3m from $933.9m a year earlier, hurt by foreign exchange losses.
The company said that while it was "pleased with the strong growth" it delivered in most of its emerging markets during the quarter, that it entered the third quarter with "lower market share as well as distributors carrying higher inventories in China".
- Analysis: Is Heinz, Kraft merger "a growth story"?
- Focus: Can Mars gain share in Indian chocolate?
- The challenges awaiting ConAgra's new CEO
- Why Heinz-Kraft merger could herald more deals
- The challenge of digital marketing and ROI
- Fatal explosion at French desserts firm Senagral
- Infographic: Heinz, Kraft unveil combined business
- UPDATE: Heinz, Kraft strike merger agreement
- ConAgra confirms another private-label charge
- Mondelez coy on Philadelphia sale rumours