Simply Good Foods climbs as co raises FY sales outlook, tops Q2 estimates

The Simply Good Foods

06/04/2022 14:12

** Atkins protein bar maker's shares  SMPL.O  up ~4% at
$39.80 before the bell
    ** SMPL lifts its annual sales outlook after beating market
expectations for Q2 results, helped by higher prices and strong
demand for its ready-to-drink shakes and snack bars in North
America
    ** Co sees fiscal 2022 net sales to increase 13%-15% vs.
prior forecast for 12%-14% growth  urn:newsml:reuters.com:*:nGNXNDb3g
    ** While supply chain operating environment remains
challenging, co's input costs are largely covered for the
balance of the fiscal year - CEO Joseph Scalzo
    ** SMPL's Q2 sales jump ~29% to $296.7 mln, topping
estimates of $274.9 mln, according to Refinitiv IBES
    ** Co posts a profit of 36 cents/shr on an adjusted basis,
blowing past est. of 27-cent profit per share
    ** 11 of 14 brokerages rate the stock "buy" or higher and
the rest "hold"; their median PT is $45 - Refinitiv data
    ** Up to Tuesday's close, stock had fallen ~8% YTD

 (Reporting by Deborah Sophia in Bengaluru)
 ((DeborahMary.Sophia@thomsonreuters.com;))