Perrigo Q1 Earnings Surpass, Sales Miss Estimates
Perrigo Company plc (NYSE: PRGO) reported adjusted earnings of 29 cents per share in the first quarter of 2024, beating the Zacks Consensus Estimate of 24 cents. Earnings were down 35.6% year over year, primarily due to a negative financial impact of 30 cents per share from infant formula.
Net sales declined 8.4% year over year to $1.08 billion, missing the Zacks Consensus Estimate of $1.09 billion. The downside was due to lower net sales in infant formula and the negative impact of purposeful SKU prioritization actions to enhance margins as part of the company’s Supply Chain Reinvention Program undertaken in 2022.
During the quarter, sales declined 1.2% on account of exited product lines and 0.3% due to unfavorable currency movement. At constant currency (excluding foreign currency translation), sales fell 8.2%. Organic net sales (excluding the effects of acquisitions and divestitures and the impact of currency) were down 7.0% year over year.
Shares of Perrigo were down 2.7% in pre-market trading on May 7, likely due to lower-than-expected sales. Year to date, the stock hasrisen 3.9% compared with the industry’s 2.5% growth.
Image Source: Zacks Investment Research
Segment Discussion
Perrigo reports its results under the following segments — Consumer Self Care Americas (“CSCA”) and Consumer Self Care International (“CSCI”).
CSCA: The segment’s net sales in the first quarter of 2024 came in …
Full story available on Benzinga.com
