General Mills Didn't Catch Organic Food Wave Fast Enough, Sales Fell
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- September 17, 2014
Shares of General Mills are moving lower on Wednesday. The packaged food maker wants to shift focus to organic foods, but it's not catching the wave fast enough. Profit for the past quarter came in at 61 cents a share, missing estimates by eight cents. Sales fell more than 2% to under $4.3 billion, also lower than expectations. The international segment has been expanding with sales in Latin America up 20% compared to a year ago. Sales in the U.S. fell slightly. CEO Ken Powell said, "Our results were driven by sales and profit declines in the U.S., where industry trends were weak in the quarter. In addition, higher merchandising expense for our U.S. retail in this period depressed reported net sales."
