TreeHouse Foods Inc. (NYSE: THS) confirmed that it expects to report first quarter 2014 adjusted earnings per share in the range of $0.77 to $0.80. Additionally, the Company said that net sales in the first quarter finished better than expected, up 14.6 percent from last year, to approximately $619 million, due to acquisitions and 3.4 percent volume/mix contribution. Sales in the North American Retail Grocery segment rose 17.2 percent, of which 12.2 percent was due to recent acquisitions while volume/mix contributed 5.9 percent, led by continued growth of its single-serve hot beverage program. The strong total Company net sales growth offset the negative effects of lower than anticipated Canadian exchange rates and deferred manufacturing costs that reduced consolidated gross margins.
The Company also reaffirmed its full year 2014 guidance for 10 percent to 13 percent earnings per share growth to a range of $3.50 to $3.60 per share before considering the accretion expected from the Protenergy acquisition.
"We have a very promising year ahead of us, and are pleased with our operating results in the first quarter. We remain confident that we are on track to deliver full year earnings per share growth of 10 percent to 13 percent, which is in line with our original guidance," said Sam K. Reed, chairman, president and chief executive Officer of TreeHouse Foods.
"Separately, we are also pleased to be announcing the acquisition of Protenergy Natural Foods, a manufacturer of premium quality food and beverage products," Mr. Reed continued. "The acquisition of Protenergy is expected to expand our packaging capabilities, leverage our R&D proficiency as shelf-stable liquid packaging evolves from cans to cartons, and presents meaningful growth opportunities in both existing and adjacent food and beverage categories."