Printer Friendly

CONAGRA EXPECTS RECORD EARNINGS IN FISCAL 1994; ADOPTING FAS 106 IN FISCAL 1993

 OMAHA, Neb., June 15 /PRNewswire/ -- ConAgra Inc. (NYSE: CAG) today announced that the company expects record earnings per share in fiscal year 1994 which began May 31. Compared to the previous year, fiscal 1994 earnings per share are expected to be up in the last nine months of the year after a first quarter which is likely to show little change.
 As previously announced on April 7, for the fourth quarter of fiscal year 1993 ended May 30, ConAgra expects to report 43 cents per share, the same as the prior year's fourth quarter. This would result in fiscal 1993 full year earnings of $1.62, up 8 percent from $1.50 in fiscal 1992 before the effects of an accounting change discussed below. ConAgra plans to report fiscal 1993 results in early July.
 ConAgra also announced today that it is adopting Financial Accounting Standard No. 106 in fiscal 1993. This Standard, which must be implemented by U.S. companies, requires that the estimated cost of post retirement benefits other than pensions be accrued over the period earned rather than expensed as incurred.
 ConAgra will apply the new Standard retroactively through fiscal 1993 and will restate previously reported fiscal 1993 quarterly results. The net effect of adoption will be an after-tax charge to fiscal 1993 earnings of approximately $131 million or 56 cents per share. This charge, which does not impact cash flow, has two components: $121 million or 52 cents per share is a one-time cumulative adjustment, and $10 million or 4 cents per share is related to current year expenses.
 Philip B. Fletcher, ConAgra's chairman and chief executive officer, commented, "We are enthusiastic about our company's prospects in fiscal '94. We believe our plans for earnings growth are realistic, based mainly on management initiatives to improve profitability. We intend to invest our strong cash flows prudently and manage aggressively to achieve record earnings."
 Fletcher continued, "We are building on ConAgra's strong foundation and enduring fundamentals which have served our shareholders well for more than 15 years. Our commitment to market leadership and premium financial objectives is well known and intact. Our goal is simply to keep doing what we've said we'd do. In that regard, we intend to hold our own feet to the fire and insist on performance which enhances long-term shareholder value."
 In fiscal 1994, ConAgra expects an operating profit increase in Prepared Foods, by far the company's largest industry segment, following little change in fiscal 1993.
 In fiscal '94, shelf-stable foods and packaged meats should again increase operating profit. The microwave foods, potato products and private label businesses plan a profit increase following major earnings growth in fiscal '93. Improvement should continue in frozen foods through emphasis on consumer needs, expense control and better margins.
 ConAgra anticipates increased fiscal '94 operating profit in the fresh red meat business, particularly in beef processing which suffered from high raw material costs in fiscal '93. The pork business also should improve results. Poultry products earnings were subpar in fiscal '93; substantial improvement, especially in chicken products, is planned for fiscal '94.
 In ConAgra's Trading and Processing industry segment, fiscal '93 operating profit dropped significantly from the previous year's very strong level. Broadly based improvement is planned in fiscal '94.
 Following a good operating profit gain in fiscal '93, ConAgra's Agri-Products segment is likely to have another good gain in fiscal '94.
 -0- 6/15/93
 /CONTACT: Walt Casey of ConAgra, 402-595-4154
 (CAG)


CO: ConAgra Inc. ST: Nebraska IN: FOD SU: ERP

MC -- DV004 -- 1979 06/15/93 09:26 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jun 15, 1993
Words:592
Previous Article:ASTARTE FIBER NETWORKS ANNOUNCES NEW PHOTONIC CROSS-CONNECT SYSTEM FOR SINGLE MODE FIBER
Next Article:KNIGHT-RIDDER, INC. PROJECTS SECOND QUARTER RESULTS
Topics:


Related Articles
IMCERA COMPLETES RESTRUCTURING PROGRAM; EXPECTS FOURTH QUARTER PRETAX RESTRUCTURING CHARGE; ADOPTS FASB STANDARDS 106, 109 AND 112
CONAGRA REPORTS RECORD FISCAL 1993 EARNINGS
READER'S DIGEST FISCAL 1993 REVENUES UP 10 PERCENT, EARNINGS PER SHARE RISE 13 PERCENT
CONAGRA REPORTS FIRST QUARTER EARNINGS
CONAGRA REPORTS RECORD SECOND QUARTER AND FIRST HALF EARNINGS
CONAGRA REPORTS RECORD THIRD QUARTER AND NINE MONTH EARNINGS
ANAREN ANNOUNCES EARNINGS
CONAGRA EXPECTS 31 PERCENT EPS GAIN IN FISCAL 1994 FOURTH QUARTER, 15 PERCENT FULL YEAR GAIN AND RECORD EARNINGS AGAIN IN FISCAL 1995
CONAGRA REPORTS RECORD FISCAL 1994 EARNINGS
ANAREN ANNOUNCES FOURTH QUARTER EARNINGS

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters