Written by StockNews.com

McCormick & Company, Incorporated (NYSE: MKC) early Tuesday [Mar 28, 2017 | 6:50am] posted better than expected first quarter earnings results and reiterated its prior guidance for solid revenue growth this year.

The Sparks, MD-based spice giant reported Q1 adjusted earnings per share (EPS) of $0.76, which was $0.02 better than the Wall Street consensus estimate of $0.74.

Revenues rose 1.3% from last year to $1.04 billion, just falling short of analysts’ view for $1.05 billion.

The company also noted that its first quarter gross profit margin increased to 39.6%, up from 39.3% in Q1 2016.

Looking ahead, McCormick reiterated its previously announced full-year 2017 EPS outlook of $4.05 to $4.13, which straddles Wall Street’s consensus view of $4.08. Full-year revenues are seen growing between 3% and 5%, or to $4.54 to $4.63 billion, in-line with analysts’ $4.56 billion estimate.

The company commented on its latest results and its strong international growth via press release:

“Our first quarter financial results were a solid start to the year delivering profit results in line with our expectations.

Sales in our consumer segment were up from the year ago period, with strong momentum in China and the benefit of acquisitions, partially offset by the impact of a challenging retail environment in the U.K.

Our industrial business delivered solid sales growth driven by our foodservice brands and customized flavors in the Americas and demand from quick service restaurants in the Asia/Pacific region.

Both segments achieved an increase in operating income and higher operating income margins.”

...Year-to-date, MKC has gained 8.60%, versus a 4.51% rise in the benchmark S&P 500 index during the same period.

MKC currently has a StockNews.com POWR Rating of A (Strong Buy), and is ranked #6 of 62 stocks in the Food Makers category.