Diamond Foods, Inc. (NASDAQ:DMND), declined 2.44% and is now trading at $29.60.
According to the Zacks Equity Research, Diamond Foods, Inc. (NASDAQ:DMND), stated strong second-quarter fiscal 2015 adjusted earnings of 35 cents per share, shimmering a substantial growth from 12 cents earned in the preceding-year quarter and much ahead of the Zacks Consensus Estimate of 23 cents. Quarterly earnings gained primarily from strong sales and margin expansion in the U.S., offset by continued challenges in the U.K.
Quarter in Detail:
Total sales were at $229.7 million, up 4.1% from $220.6 million recorded in the year-ago comparable quarter. However, the company’s top line dropped doqwn short of the Zacks Consensus Estimate of $238 million. The year-over-year improvement was driven by strong sales at both Snacks and Nuts segments across the U.S., offset by lower sales in the U.K. due to raised promotional activity.
Diamond Foods ended the quarter with total current assets of $352.8 million compared with $280.1 million accessible at the end of second-quarter fiscal 2014. As of Jan 31, 2015, long-term debt obligation was at $635.3 million while shareholders’ equity was $283.5 million.
Following the second-quarter results, Diamond Foods narrowed its fiscal 2015 guidance range for adjusted EBITDA and earnings per share by raising the lower end of its previous forecast. The company now anticipates adjusted earnings to come in the range of 95 cents to $1.10 per share, as compared to its previous guidance of 90 cents to $1.10 per share.
Currently, Diamond Foods has a Zacks Rank #3 (Hold). Better-ranked stocks in the same industry comprise Flowers Foods Inc. FLO and SUPERVALU Inc. SVU, both carrying a Zacks Rank #2 (Buy). Another stock worth considering in the related food-meat products industry is Tyson Foods Inc. TSN with a Zacks Rank #1 (Strong Buy).
Furthermore, GLOBE NEWSWIRE also stated its strong second-quarter fiscal 2015 summary.
According to GLOBE NEWSWIRE, Year-to-Date Fiscal 2015 Highlights Includes:
Combined net sales for the first six months of fiscal 2015 increased 4.6% to $476.3 million contrast to $455.2 million in the first half of last year. This boost was primarily due to higher sales in the U.S. for both the Snacks and Nuts segments, somewhat offset by lower sales in the UK, primarily due to raised promotional activity.
Fiscal 2015 adjusted EBITDA, a non-GAAP financial measure, excludes items such as interest expense, income taxes, depreciation, amortization, stock based compensation as well as certain legal expenses and litigation settlements, acquisition-related costs, asset impairments and certain other actual and projected costs.
Diamond Foods, Inc., a packaged food company, processes, markets, and distributes snack products and nuts. It operates in two segments, Snacks and Nuts. The Snacks segment offers microwave popcorn products and potato chips under the Kettle and Pop Secret brands.