You are here: Home » Reuters » News
Business Standard

Kellogg posts fourth-quarter loss, hit by higher costs, strong dollar

Reuters  |  CHICAGO 

(Reuters) - reported a fourth-quarter loss on Thursday as it suffered the effects of a strong dollar and the costs of an ongoing restructuring and preparations for

Shares of Battle Creek, Michigan-based Kellogg were down 4.3 percent at $56.60 in early trading.

The company said in November that it would reorganize its North American division and explore a sale of its cookies and fruit snacks units - which include brands such as and - as it sharpens focus on its core businesses.

Kellogg, like other packaged companies, has struggled to boost sales in recent years because of intense pricing pressure from retailers and growing consumer preference for healthier,

To drive cereal sales, Kellogg has been spending more on advertising and promotions.

Britain is due to leave the on March 29 in a so-called The country's economy risks stalling or contracting as looms and a global economic slowdown worsens, with companies in the British services sector reporting job cuts for the first time in six years and declining new orders.

Net loss attributable to Kellogg was $84 million, or 24 cents per share, compared with a profit of $417 million, or $1.20 per share, a year earlier.

Excluding items, Kellogg earned 91 cents per share, beating expectations of 88 cents, according to Refinitiv data.

Kellogg said net sales rose 4.1 percent to $3.32 billion in the quarter, ended Dec. 29, helped by acquisitions, including its 2017 purchase of RXBAR. The company said currency translation hurt sales by 3 percent.

(Reporting by Richa Naidu; Editing by and Steve Orlofsky)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Thu, February 07 2019. 20:30 IST