What to expect when Conagra Brands (CAG) reports Q4 2024 financial results

Conagra Brands, Inc. (NYSE: CAG) shares remained in the green on Monday. The stock is down 4% over the past month. The branded food products company is scheduled to report fourth-quarter 2024 results on Thursday, July 11, before markets open. Here’s what to expect from the earnings report:

Income

Analysts are forecasting Conagra revenue of $2.93 billion in the fourth quarter of 2024, down 1% from the same period last year. In the third quarter of 2024, sales fell nearly 2% year over year to $3 billion.

Profits

The consensus estimate for Q4 2024 EPS is $0.57, which compares to the adjusted EPS of $0.62 reported in the prior-year quarter. In Q3 2024, adjusted EPS decreased 9% YoY to $0.69.

Points to note

Conagra’s top line was impacted last quarter by volume declines due to consumption declines and negative price/mix impacts. However, as discussed in the quarterly call, the company appears to be seeing sequential volume improvements, and that momentum continues into the fourth quarter.

Conagra is confident of continued volume recovery, based on consumption trends in key categories. Its portfolio has remained resilient, with most of its brands maintaining or gaining unit share. These trends could impact fourth-quarter results.

In Q3, Grocery and Snacks segment sales benefited from an improved price mix, while Refrigerated and Frozen segment sales declined due to increased strategic investments in the frozen food business. International segment results benefited from strong performance in the Mexico business, while volume declines negatively impacted Foodservice segment sales.

Conagra’s continued investment in its brands and cost-cutting efforts are expected to drive higher volumes and margins.