NEW YORK (AP) — Hershey on Wednesday reported better-than-expected third-quarter profit, but its revenue fell short of expectations and it cut guidance for the year.
Its shares fell more than 2 percent in premarket trading.
The chocolate bar and candy maker reported a 31 percent drop in net income to $154.8 million, or 70 cents per share. Earnings, adjusted for non-recurring costs and asset impairment costs, came to $1.17 per share.
The results topped Wall Street expectations. The average estimate of seven analysts surveyed by Zacks Investment Research was for earnings of $1.12 per share.
The Hershey, Pennsylvania-based company had revenue of $1.96 billion in the period, missing Street forecasts. Four analysts surveyed by Zacks expected $1.97 billion.
Looking ahead, the company expects Hershey expects full-year earnings in the to be near the low end of its range, or about $4.10 per share, on flat revenue.
Shares of Hershey Co. fell $2.47, or 2.6 percent, to $91.86 in premarket trading about 90 minutes before the market open.
Its shares have dropped 9 percent since the beginning of the year, while the Standard & Poor's 500 index has stayed nearly flat. The stock has fallen 0.5 percent in the last 12 months.