HERSHEY, Pa. (AP) — Hershey's first-quarter adjusted profit beat Wall Street's view, but sales were weaker than expected and the chocolate bar and candy maker cut its full-year adjusted profit outlook.
Its shares fell more than 3 percent in early Tuesday morning trading.
For the three months ended April 3, Hershey Co. earned $229.8 million, or $1.06 per share. That compares with $244.7 million, or $1.10 per share, a year earlier.
Earnings, adjusted for non-recurring costs, came to $1.10 per share. That topped the $1.05 per share that analysts surveyed by Zacks Investment Research expected.
The Hershey, Pennsylvania-based company said that revenue dropped to $1.83 billion from $1.94 billion. Analysts polled by Zacks expected higher revenue of $1.91 billion.
Hershey now expects full-year adjusted earnings in a range of $4.24 to $4.28 per share. Its prior guidance was for $4.36 to $4.38 per share. Analysts polled by FactSet predict earnings of $4.34 per share.
Hershey also announced Tuesday that it has purchased Ripple Brand Collective LLC, a privately held company that owns the barkTHINS snacking chocolate brand. Terms were not disclosed.