Lamb Weston Holdings
News To undertake
Today 8:00 am – Max van der Heijden
The price increases will not hurt Lamb Weston for the time being. The American maker of frozen potato products, among other things, reports a 48% increase in turnover in the first quarter of the past financial year.
Lamb Weston earned $375 million from acquisitions. The company acquired several companies in the first quarter. Without acquisitions, net turnover grew by 15%. The company increased prices by 24% due to increased costs. Volume fell by 8%, something the company attributes to the choice to sell fewer cheap and low-margin products. Customers also chose to stock fewer Lamb Weston products.
Operating income doubled to $323.3 million, driven by higher sales and improved gross profit. Net income came in at $234.8 million, up 1.3%.
Expectations adjusted upwards
The company expects net income for the year to be between $800 million and $870 million. Previously, expected net income was between $725 million and $790 million. Even now that the income forecast has been revised upwards, it is still lower than the profit for the 2023 financial year, which came in at $1.01 billion.
Max van der Heijden
Max writes about the commodity markets and everything related to them. His focus is mainly on grains, coffee and cocoa. He also gets up early every morning to put the market starter on paper. Max loves cooking, eating and traveling.
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