US cereal maker Kellogg has reported 16% earnings growth for the first quarter and said it expects full-year earnings at the high end of its previous forecast.
The company reported net earnings of US$254.7m, or 61 cents per share, for the first quarter, compared to $219.8m, or 53 cents per share, in the year-ago period. Kellogg said each of its businesses contributed to the growth, which resulted from successful innovation, brand building, investment, and strong execution.
“This was another excellent quarter for the company,” said Jim Jenness, Kellogg’s chairman and chief executive officer. “We delivered growth across our businesses while facing continued cost pressures. Most importantly, though, we increased the level of investment we plan to make in our business. These investments are made to drive sustainable growth in the future.”
Reported net sales in the quarter increased by 8% to $2.6bn. Internal net sales growth, which excludes foreign-currency translation, was 6%.
Kellogg stated that it now expects full-year earnings at the high end of the previously stated range of $2.28-2.32 per share.