Flowers Foods Reports Third Quarter of $.34

Flowers Foods FLO today reported results for the 12 and 40 weeks ended October 9, 2010. The company also updated its guidance for 2010 and provided preliminary guidance for 2011.

Summarizing the third quarter announcement, Flowers Foods:

• Reported diluted earnings per share of $.34, even with last year's third quarter.
• Generated $73.5 million of operating cash flow.
• Reported sales were down .8% compared to last year's third quarter due to pricing pressure and higher promotional activity.
• Achieved volume growth of 1.4% and .8% growth from acquisitions; offset by 2.4% negative pricing/mix and .6% from the deconsolidation of a variable interest entity (VIE).
• Expects 2010 sales will be flat to slightly up and diluted earnings per share will be up 10% to 12% (excluding the $.02 per share gain on acquisition recorded in 2009).
• Provided preliminary 2011 guidance for 3.0% to 6.0% sales growth and diluted earnings per share growth of 8.0% to 13.0%

Net income for the quarter was $31.2 million, down slightly from the $31.9 million in the third quarter of fiscal 2009. For the quarter, diluted earnings per share were flat at $.34.