TreeHouse Foods, Inc. reported a net loss from ongoing operations for the first quarter amounting to $11.7 million, in stark contrast to the prior year's net income of $20.4 million from the same operations. There was a loss per share this year, as opposed to last year's profit. The company’s Adjusted EBITDA also witnessed a decline, with a plunge from $91.3 million to $46.0 million. The adjusted loss per share stood at $0.03 in contrast to the previous year’s profit of $0.70. Contrary to the expectations of seven analysts surveyed by Thomson Reuters, who predicted a per-share loss of $0.01, the company reported a slightly higher figure. These estimates usually do not account for extraordinary items.
The net sales for the first quarter amounted to $820.7 million, a decrease of 3.9% from last year's $854.0 million. However, this was higher than the average estimated revenue of $797.18 million by analysts.
TreeHouse Foods reaffirmed its financial outlook for 2024, projecting net sales to fall within $3.43 to $3.50 billion and adjusted EBITDA from ongoing operations to lie between $360 to $390 million.
Steve Oakland, CEO and President, commented on the current situation. He said, "Although the temporary shutdown of our broth facility affected first-quarter profitability, the facility’s restart along with our significant supply chain savings initiatives put us in a strong position to increase the margin for the rest of the year and meet our full-year profitability targets."
