Conagra Brands, Inc. (CAG) posted a growth of 15.8% in its first-quarter adjusted earnings per share from a year ago. Adjusted operating margin was 16.7%, a 297 basis point increase over the prior year quarter. First quarter net sales were flat with prior year, impacted by elongated volume recovery timetable. Organic net sales declined 0.3%, for the quarter, driven by a 6.6% decrease in volume largely due to industry-wide slowdown in consumption and recent consumer behavior shifts, partially offset by a 6.3% improvement in price/mix.
Looking forward, the company reiterated its fiscal 2024 guidance. For the second quarter, Conagra Brands projects adjusted EPS to be approximately flat to first quarter. Second quarter gross and operating margins are projected to be below first quarter due to incremental trade and A&P investment. Organic net sales are projected to decline low-single-digit. For the back half of the year, the company expects low-single digit organic net sales growth driven by year-over-year volume growth, along with margins similar to second quarter as trade and A&P dollars remain elevated.
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May 15, 2026 15:25 ET Apart from the confirmation of Kevin Warsh as the next Fed chair, the main news on the economics front this week included key price data from the U.S. and the first quarter economic growth figures from major economies. Both consumer prices and producer costs have started to reflect the effect of supply shocks due to the Middle East conflict. In Europe, GDP data was in focus, while inflation data from China dominated the news flow in Asia.