ConAgra expects sales growth trends to improve

|About: ConAgra Brands, Inc. (CAG)|By:, SA News Editor

Sales fell off at ConAgra Brands (NYSE:CAG) in FQ2, led by a 6% drop in grocery/snacks and 11% falloff in refrigerated/frozen sales.

Gross profit as a percentage of profit fell 270 bps Y/Y to 28.3%.

"We expect to improve sales growth trends in the second half of the fiscal year as we begin to lap the pricing and trade actions we undertook last year," says CEO Sean Connolly.

ConAgra guides for FY17 EPS of $1.65-$1.70 vs. $1.68 consensus. Sales are seen falling 4% to 5% for the full year.

Previously: ConAgra Brands beats by $0.04, misses on revenue (Dec. 22)

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