(RTTNews) – Lamb Weston Holdings, Inc. (LW), Tuesday reported first-quarter revenue of $127.4 million or $0.88 per share in comparison with $234.8 million or $1.60 per share within the earlier yr.
On adjusted foundation, revenue totaled $104.7 million or $0.73 a share in comparison with $239.5 million or $1.63 a share in prior yr.
On common, analysts surveyed by Thomson Reuters estimated earnings of $0.72 per share for a similar interval. Analysts’ estimates sometimes exclude particular gadgets.
Income declined to $1.65 billion from final yr’s $1.67 billion.
The corporate additionally introduced its resolution to implement a restructuring plan to drive operational and price efficiencies, and enhance money flows.
As a part of the plan, Lamb Weston has determined to chop about 4 p.c of the corporate’s complete workforce and eradicate sure unfilled job positions.
Moreover, the corporate would completely shut its manufacturing facility in Connell, Washington on October 1, quickly curtail sure manufacturing strains and schedules throughout its manufacturing community in North America, and scale back capital expenditures.
The frozen potato merchandise provider expects the restructuring plan to generate roughly $55 million of pre-tax price financial savings, and a $100 million discount in capital expenditures in fiscal 2025. It additionally expects to document complete estimated pre-tax prices of $200 million to $250 million.
Trying ahead, the corporate now expects revenue of $395 million to $445 million, and Diluted EPS of $2.70 to $3.15 for the fiscal yr 2025. It lowered its adjusted web earnings goal vary of $600 million to $615 million, and adjusted diluted EPS of $4.15 to $4.35.
In the meantime, the corporate reaffirmed its web gross sales goal vary of $6.6 billion to $6.8 billion for the complete yr 2025.
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