LOS ANGELES – Kellogg Co. (K), the world's largest cereal maker, on Monday reported quarterly earnings that exceeded Wall Street estimates and raised its full-year profit outlook, helped by strong sales of new products and a weaker U.S. dollar.
Net income rose to $247 million, or 59 cents per share, for the third quarter ended Sept. 25, from $231.3 million, or 56 cents per share, a year ago.
Wall Street analysts had expected the Battle Creek, Mich.-based company to report earnings of between 52 cents and 58 cents per share with an average view of 55 cents per share, according to Reuters Estimates.
Net sales rose 7.2 percent to $2.45 billion. Excluding the impact of a weaker greenback, which lifts the value of overseas sales when they are translated to dollars on the company's income statement, sales rose 4.8 percent.
Kellogg said it expects to earn between $2.11 and $2.13 per share for the year ending in December, above its previous forecast for earnings of $2.07 to $2.11 per share.
Analysts had been expecting earnings of about $2.13 per share, according to Reuters Estimates.
In a statement, Kellogg said sales in its snack business rose 9 percent, helped by sales of new kinds of fruit snacks. The company's North American cereal business, meanwhile, reported a sales rise of 1 percent.