Dean Foods Company reported first quarter 2016 results. Q1 net income per diluted share was $0.43 and adjusted net income per diluted share was $0.45, exceeding expectations.
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Q1 adjusted results reflect the fifth consecutive quarter of year-over-year improved results behind strong execution across all functions.
Quarterly dividend increased to $0.09 per share, a 29% increase. Q2 2016 adjusted diluted earnings are expected to be $0.32 to $0.40 per diluted share.
CEO Gregg Tanner said, "Our Q1 performance marks a strong start to 2016. Solid execution across all functions led to continued improvement in our financial and operational performance from Q4 to Q1. We continue to execute our agenda at high levels across the entire team."
"For the second quarter, with expected volume declines in the low single digits, slightly decreasing raw milk costs, and taking normal seasonality into account, we expect adjusted diluted earnings of between $0.32 and $0.40 per share," concluded Tanner.
Dean Foods has agreed to acquire the manufacturing and retail ice cream business Friendly's Ice Cream from an affiliate of Friendly's Ice Cream, LLC (Friendly's Restaurants), for $155 million in cash.
Friendly's Ice Cream, with $166 million in net sales in 2015, is an iconic brand that produces popular packaged ice cream and other frozen dessert products, including single-serve sundae cups, novelty items, cakes and rolls.
Friendly's distributes these products in over 8,000 retail outlets. Products are made from high quality ingredients with an emphasis on innovative flavors and unique formulations and packaging. Founded in 1935, the brand has a rich heritage and a long history of delighting consumers. ■
The final few days of September will feature mostly tranquil weather conditions throughout the Nation outside of a few areas expecting scattered showers and thunderstorms.