THOMASVILLE, GA — Flowers Foods reported financial results for its 16-week fiscal first quarter, which ended April 22.
In the Q1 summary, the company noted three specific data points compared to the first quarter of 2022.
- Sales increased 6.9% to a quarter-record $1.53 billion; pricing/mix increased 13.6%, and volume was down 7.3%
- Net income decreased 17.4% to $70.7 million; adjusted net income decreased 13.1% to $80.9 million
- Adjusted EBITDA decreased 8.7% to $151.1 million, representing 9.8% of sales, a 170-basis point decrease
“Our first quarter results reflect the competitive strength of our leading brands and their ability to meet shifting consumer demand in a challenging environment,” said Ryals McMullian, president and CEO of Flowers Foods. “Price increases to offset inflationary pressures drove record sales, while our product mix continued to return to more normalized levels as consumers dined out of the home more frequently. Private label category sales remained strong, although the growth rate is moderating.”
McMullian added that the company is adjusting its outlook for fiscal 2023 to account for the slow start to the year and lower-than-expected branded retail sales due to softer category demand.
In the summary, Flowers also shared its expectations for the 52-week fiscal 2023.
- Sales in the range of approximately $5.09 billion to $5.14 billion, representing an increase of approximately 5.8% to 7.0% compared to the prior year period
- Adjusted EBITDA in the range of approximately $494 million to $528 million
- Adjusted EPS in the range of approximately $1.15 to $1.25