General Mills 1Q Profit Slips on Higher Costs

General Mills Inc (NYSE:GIS) reported a lower quarterly profit on Wednesday, as the food company was hit by higher ingredient and fuel costs.

The maker of Cheerios cereal and Progresso soups reported net income of $405.6 million, or 61 cents per share, for the first quarter ended on August 28, compared with $472.1 million, or 70 cents per share, a year earlier.

Net sales rose 8.9 percent to $3.85 billion, helped by the recently acquired Yoplait yogurt business and higher prices.

The company affirmed its full-year outlook, saying it expects fiscal 2012 earnings of $2.59 to $2.61 per share, excluding items such as the costs of integrating Yoplait.

(Reporting by Phil Wahba and Martinne Geller in New York; Editing by Lisa Von Ahn)