Flowers Foods: Reports First Quarter 2023 Results

Thomasville / GA. (ff) Flowers Foods Inc., producer of Nature’s Own, Dave’s Killer Bread, Wonder, Canyon Bakehouse, Tastykake, and other bakery foods, reported financial results for the company’s 16-week first quarter ended April 22, 2023.

First Quarter Summary versus Q1-2022

  • Sales increased 6.9 percent to a quarter-record USD 1.534 billion.
  • Net income decreased 17.4 percent to USD 70.7 million. Adjusted net income decreased 13.1 percent to USD 80.9 million.
  • Adjusted Ebitda decreased 8.7 percent to USD 151.1 million, representing 9.8 percent of sales, a 170-basis point decrease.
  • Diluted EPS decreased USD 0.07 to USD 0.33. Adjusted diluted EPS decreased USD 0.06 to USD 0.38.

Chief Executive’s Remarks

«Our first quarter results reflect the competitive strength of our leading brands and their ability to meet shifting consumer demand in a challenging environment. 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.

«We are adjusting our 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 response, we are adapting our business to make it even more resilient in the rapidly evolving consumer environment. The nationwide launch of our Dave’s Killer Bread Snack Bars represents a first step in expanding our brands outside of the bread category. We expect further progress in this area with an exciting pipeline of adjacent products in development, and through strategic acquisitions. Additionally, we are investing in a number of productivity and efficiency initiatives to ensure we are well-positioned to enhance shareholder value and achieve results in line with our long-term financial targets.»

For additional information please read the company’s PDF file below (252 KB):