Bob Evans Farms Raises Fiscal 2017 Outlook, Even As Profit And Sales Fall Short Of Estimates

Bob Evans Farms Inc. said Wednesday it had net income of 48.2 million, or 41 cents a share, in its fiscal third quarter to Jan. 27, down from $12.9 million, or 62 cents a share, in the year-earlier period. Adjusted per-share earnings came to 75 cents, just below the FactSet consensus of 76 cents. Sales fell to $335.9 million from $346.5 million and were also below the FactSet consensus of $345 million. The company, which in January agreed to sell its Bob Evans Restaurants business to private-equity firm Golden Gate Capital, said it gained market share and pounds sold growth in its key markets in the quarter. "Retail channel pounds sold increased nearly 8 percent, with retail side-dish and sausage gains of approximately 13 percent and 3 percent, respectively, driving market share gains in core and national markets," Chief Executive Saed Mohseni said in a statement. The company is now expecting fiscal 2017 adjusted EPS of $2.22 to $2.32, up from a prior range of $2.15 to $2.30. The current FactSet consensus is for EPS of $2.44. Shares were not yet active premarket, but have gained 23% in the last 12 months, while the S&P 500 has gained about 20%.