TreeHouse Foods, Inc. managed to edge past earnings expectations for the fourth quarter 2018, but failed to show the same strength in its top-line numbers.
The food processing company’s adjusted earnings for the quarter came in at $1.03 per share, beating Zacks Consensus Estimate of 96 cents per share. The earnings-per-share was also higher than the year-ago quarter’s figure. It was 5% more compared to the mid-point of the previous guidance of 88 cents and $1.08. The firm's cost saving plans like Structure to Win apparently was a tailwind to the profitability.
Net sales of $ 1,481.1 million, however, fell short of the consensus estimate of $1,493 million. It was also lower from the year-ago period by -12.9%. Divestiture of McCann's business and foreign currency headwinds were among factors that apparently hurt revenues.
Nevertheless, the company’s gross margin was 17.6%, which is 240 basis points higher from the year-ago quarter’s figure.