Battle Creek, MI-based Kellogg Co. (NYSE: K) reported a profit of $307 million for its 2021 third quarter. Kellogg said it had a profit of 89¢ a share. Earnings, adjusted for non-recurring costs, were $1.09 a share. The company's third-quarter FY21 sales grew 5.6% year-on-year, to $3.62 billion.
Kellogg third-quarter highlights
- Kellogg North America's sales remained flat, Europe's jumped 14%, Latin America sales increased 7%, and Asia Pacific, Middle East and Africa's sales rose 17%.
- Selling, general and administrative expenses declined 9.1% year over year to $718 million.
- Kellogg's operating margin was 12.3%.
- Reported gross margin was 32.1%, while the adjusted gross margin contracted 250 basis points to 32.2%.
- Kellogg raised its FY21 sales growth guidance to 2%-3% (prior guidance of 0-1%).
Click here to see full report.
Kellogg strike update
In other news, Kellogg is suing its local union in Omaha. The maker of Frosted Flakes alleges that striking workers are blocking entrances to its cereal plant and intimidating replacement workers as they enter the plant.
CNBC reported that Kellogg has asked a judge to order the Omaha chapter of the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union to cease interfering with its business while workers picket outside the plant.
Since Oct. 5, workers have been picketing in Omaha and at three other Kellogg cereal plants have been on strike.
Local BCTGM president Dan Osborn told ABC affiliate KETV Omaha: "There have been absolutely no citations issued by local law enforcement regarding the way we have been handling this legal work stoppage."
