General Mills Inc (NYSE:GIS - News) forecast weaker fiscal-year earnings than Wall Street expected as higher ingredient and fuel costs hammer the food company.
The maker of Cheerios cereal and Progresso soups said on Wednesday that it expects costs to rise 10 percent to 11 percent in the 2012 fiscal year, which began May 30. That is more than double the inflation it had forecast for the previous year.
The inflation will be the most intense in the first quarter. As a result, General Mills expects quarterly profit to fall in the current quarter and rise in the remaining three.
General Mills shares were up 1.2 percent in afternoon trading on Wednesday, outperforming the Standard & Poor's Packaged Food index and the S&P 500.
http://finance.yahoo.com/news/General-Mills-sees-2012-rb-756642526.html?x=0&.v=7
No comments:
Post a Comment