July 15 (Reuters) – Conagra Brands forecast annual profit below Wall Street estimates on Wednesday, signaling that elevated commodity costs and cautious consumer spending would continue to weigh on its business.
Shares of the Slim Jim maker, which also cut its dividends, were down about 3% in premarket trading.
Higher beef prices, along with tariffs on steel and aluminum used in packaging, remain a margin pressure for Conagra, which increased prices last year to offset higher ingredient costs and tariffs on tin-plate steel used in packaging.
The Hunt’s ketchup maker said it expects fiscal 2027 adjusted profit of $1.40 to $1.50 per share. Analysts on average were estimating earnings of $1.59 per share, according to data compiled by LSEG.
It also forecast an annual organic net sales decline of between 1% and 3%, compared to a 0.4% decline in fiscal 2026.
(Reporting by Neil J Kanatt in Bengaluru and Alexander Marrow in London; Editing by Joyjeet Das)
