After Thursday’s closing bell, Kraft Foods Inc (KRFT ) reported its fourth quarter earnings, topping analyst estimates.
KRFT Earnings in Brief
- The company reported EPS of $0.75, topping analyst expectations of $0.73.
- Revenues for the quarter came in at $4.7 billion, edging out Wall Street estimates of $4.6 billion.
- The company noted it struggled with record-high commodity costs throughout the entire quarter, which hurt overall results.
CEO Commentary
Kraft Chairman and CEO John T. Cahill had the following comments: “While there were some positive developments in the fourth quarter, we did not deliver to our potential in 2014, with the macro environment and our execution affecting our results. I believe our brands and our people are an unbeatable combination, but as we look at 2015 and beyond, we need to leverage those strengths against a plan that accelerates the pace of change, improves execution and puts Kraft on a clear path to long-term, sustainable growth."
KRFT’s Dividend
The company made no mention of its dividend today, but we expect it to announce its next payout sometime in early March.
Stock Performance
KRFT shares slid more than 2% in after-hours trading as the earnings beat was not enough to overcome the negative commentary from the CEO.
The Bottom Line
Kraft Foods Inc (KRFT ) is recommended at this time, holding a Dividend.com DARS™ Rating of 3.5 out of 5 stars.
Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.
