Hershey Beats Estimates On Chocolate Sales, Acquisition
Hershey Co. topped Wall Street's estimates for quarterly sales and profit on Thursday, driven by demand for its chocolates and revenue from a recently acquired healthier snacks maker.
The company completed its acquisition of SkinnyPop-parent Amplify Brands in January as part of the Hershey's Kisses and Kit Kat maker's efforts to tap into rising demand for healthier snack alternatives.
Increasing Net Income
Net income attributable to the company rose to $226.9 million, or $1.08 per share, in the second quarter ended 1 July, from $203.5 million, or 95 cents per share, a year earlier.
Excluding one-time items, Hershey earned $1.14 per share, beating analysts' average estimate of $1.10, according to Thomson Reuters I/B/E/S.
The company reported sales of $1.75 billion, scrapping past analysts' estimate of $1.74 billion.
Hershey has authorised a new $500 million share repurchase program.