Post Holdings Inc (NYSE:POST) stock fell 3.79% (As on November 15, 11:23:41 AM UTC-4, Source: Google Finance) after the company posted better than expected results for the fourth quarter of FY 24. Net earnings were $81.6 million, an increase of 24.2%, or $15.9 million, compared to $65.7 million in the prior year period. Selling, general and administrative (“SG&A”) expenses were $341.7 million, or 17.0% of net sales, an increase of 10.4%, or $32.2 million, compared to $309.5 million, or 15.9% of net sales, in the prior year period. The increase was primarily driven by increased advertising and commercial spend in the current year period. Operating profit was $190.9 million, an increase of 24.8%, or $37.9 million, compared to $153.0 million in the prior year period. Adjusted EBITDA was $348.7 million, a decrease of 0.1%, or $0.3 million, compared to $349.0 million in the prior year period.
Moreover, for Post Consumer Brands, during the fourth quarter, net sales were $1,047.4 million, an increase of 3.9%, or $39.4 million, compared to the prior year period. For the fourth quarter, Weetabix net sales were $140.0 million, an increase of 3.8%, or $5.1 million, compared to the prior year period. For the fourth quarter, Foodservice net sales were $596.1 million, an increase of 4.7%, or $26.6 million, compared to the prior year period. Volumes increased 3.6%, primarily driven by distribution gains in both eggs and potatoes. For the fourth quarter, Refrigerated Retail net sales were $226.5 million, a decrease of 2.9%, or $6.8 million, compared to the prior year period.
POST in the fourth quarter of FY 24 has reported the adjusted earnings per share of $1.53, beating the analysts’ estimates for the adjusted earnings per share of $1.19, according to Zacks Investment Research. The company had reported the adjusted revenue growth of 3.3 percent to $2.01 billion in the fourth quarter of FY 24, beating the analysts’ estimates for revenue of $1.96 billion. Excluding the benefit from acquisitions in the current year period, net sales growth in Foodservice (driven by volume growth and mix shift to higher value-added products) was offset by declines in Post Consumer Brands (driven by volume declines in co-manufactured pet food), Refrigerated Retail (driven by distribution losses in lower margin cheese and egg products) and Weetabix (driven by declines in non-biscuit branded and private label products). Gross profit was $575.4 million, or 28.6% of net sales, an increase of 4.4%, or $24.0 million, compared to $551.4 million, or 28.3% of net sales, in the prior year period.
Post management expects Adjusted EBITDA for fiscal year 2025 to be between $1,410-$1,460 million. Post management expects fiscal year 2025 capital expenditures to range between $380-$420 million.