McCormick stock gains after earnings beat

Shares of McCormick & Co. Inc.
MKC,
-0.09%

are up 2.1% in premarket trading Tuesday after the maker of spices reported better-than-expected results for its latest quarter. The company reported fiscal-first quarter net income of $161.8 million, or 60 cents a share, up from $144.7 million, or 54 cents a share, in the year-prior quarter. On an adjusted basis, McCormick earned 72 cents a share, up from 54 cents a share a year earlier and ahead of the FactSet consensus, which called for 59 cents a share. McCormick posted net sales of $1.48 billion, up from $1.21 billion a year prior and above the $1.38 billion that analysts tracked by FactSet had been projecting. “We are capitalizing on accelerating consumer trends, particularly the sustained shift to cooking more at home, increased digital engagement, clean and flavorful eating, and trusted brands, which we are confident will continue to persist even beyond the pandemic,” Chief Executive Lawrence Kurzius said in a release. For the full fiscal year, McCormick expects to grow sales by 8% to 10%, above its prior projection for 7% to 9% growth. The company anticipates organic growth in both its consumer and flavor solutions businesses. Shares of McCormick have slipped 4.7% over the past three months as the S&P 500
SPX,
-0.09%

has gained 6.4%.