McCormick Q4 Profit Jumps +13%, But Misses Wall Street Expectations (MKC)
On Thursday food spices and seasonings producer McCormick & Company, Incorporated (MKC) reported a rise in its fourth quarter profit and revenue, but the results missed Wall Street views.
The Sparks, Maryland-based company posted a fourth quarter net income of $148.5 million, or $1.11 per share, up +13% from $131.7 million, or 98 cents per share, earned in the same period in 2011. Despite the increase in profit, McCormick missed analysts’ estimates of $1.41 per share, according to Thomson Reuters.
The spice maker’s sales rose +3% to $1.15 billion in the quarter, but this also missed the Wall Street prediction of $1.17 billion.
Full year earnings were $407.8 million, or $3.04 per share, which was higher than the $374.2 million, or $2.79 per share, earned in the prior year. Annual revenue was $4.01 billion, up +9% from the previous year.
Looking ahead to fiscal 2013 results, MKC is expected EPS to come in between $3.15 to $3.23 per share. Analysts are expecting the company to earn $3.36 per share.
McCormick shares were down $2.89, or -4.34%, during pre-market trading on Thursday. The stock is up +29.28% over the past year.
The Bottom Line
Shares of McCormick (MKC) have a 2.04% dividend yield, based on last night’s closing stock price of $66.59. The stock has technical support in the $62-$64 price area. The shares are trading right near all-time highs.
McCormick & Company, Incorporated (MKC) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.
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