Core Insights - Lamb Weston missed analysts' expectations for both profit and revenue in its fiscal fourth-quarter results [1][2] - CEO Tom Werner indicated that demand for frozen potatoes has softened due to inflation [1][3] - The company anticipates that fiscal 2025 will be another challenging year [1][4] Financial Performance - The company reported earnings per share (EPS) of $0.89, a decline of 74% year-over-year, with revenue of $1.61 billion, which fell short of expectations of $1.27 and $1.7 billion [2] - Analysts expect Lamb Weston to generate net sales between $6.6 billion and $6.8 billion in fiscal 2025, with EPS projected between $4.35 and $4.85 [4] Market Conditions - CEO Werner expressed disappointment over the fourth-quarter performance, citing below-expectation price/mix results and greater-than-expected market share losses alongside a slowdown in restaurant traffic in the U.S. and key international markets [3][4] - The operating environment has rapidly changed, with global restaurant traffic and frozen potato demand declining due to menu price inflation negatively impacting restaurant traffic [4] Stock Performance - Following the disappointing results, shares of Lamb Weston fell 28% to $56.54, marking a decline of over 47% in 2024 [5]

Table of Contents FORM 10-K ____________________________________________________________ (Mark One) x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended May 26, 2024 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 1-37830 ____________________________________________________________ Delaware 61-1797411 (State or other jurisdiction of incorporation ...

The company faced disappointing price/mix results, coupled with more-than-anticipated market share losses and a slowdown in restaurant traffic across the United States and several key international markets. LW incurred losses linked to a voluntary product withdrawal. Looking ahead to the fiscal 2025, management anticipates another challenging year. The operating landscape remains dynamic, marked by softened global restaurant traffic and reduced demand for frozen potatoes due to ongoing menu price inflation. ...

Lamb Weston Today Lamb Weston NYSE: LW share prices got fried after Q4 results were worse than expected. The move shaved 20% off the share price, putting the market near long-term lows, but now is not the time to sell. As bad as the implosion looks, the existing market is capitulating and setting up an attractive buying opportunity for new investors. While headwinds persist, the company's results aren't as bad as they look, and there are catalysts ahead for consumer staples. Lamb Weston Has a Weak Quarter C ...

While Lamb Weston has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? Lamb Weston (LW) came out with quarterly earnings of $0.78 per share, missing the Zacks Consensus Estimate of $1.24 per share. This compares to earnings of $1.22 per share a year ago. These figures are adjusted for nonrecurring items. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as ...

International Segment Performance - International segment net sales increased by $1,003.2 million to $2,104.4 million, with $1,107.4 million attributed to the consolidation of LW EMEA and LWAMSA[1] - Excluding acquisitions, international segment net sales declined by $104.2 million, or 9 percent, with a volume decline of 15 percent[2] - Adjusted EBITDA for the international segment increased by $100.9 million to $331.9 million, driven by incremental earnings from LW EMEA consolidation[4] - The international segment saw a significant increase in sales by 91% to $2,104.4 million, driven by a volume increase of 85%[44] - International segment net sales decreased by $35.7 million, or 7 percent, to $498.7 million, with volume down 9 percent[80] Financial Performance - Net income for the fifty-two weeks ended May 26, 2024, was $725.5 million, a decrease of 28.0% compared to $1,008.9 million for the same period last year[27] - Net income for fiscal year 2024 decreased by 28% to $726 million, with diluted EPS declining by 28% to $4.98[63] - Adjusted EBITDA for fiscal year 2024 increased by 13% to $1,416.7 million[63] - Adjusted net income for Q4 2024 decreased by 40% to $113.7 million, with adjusted diluted EPS declining by 40% to $0.78[69] - The diluted EPS for the thirteen weeks ended May 26, 2024, was $0.89, reflecting a decrease from the previous year[45] Cash Flow and Capital Expenditures - Net cash provided by operating activities for fiscal 2024 was $798.2 million, an increase of $36.5 million compared to the prior year[9] - Capital expenditures during fiscal 2024 were $991.8 million, up $255.8 million, primarily for capacity expansion and ERP upgrades[9] - Cash used for capital expenditures in fiscal 2025 is expected to be approximately $850 million, focusing on capacity expansion and information systems upgrades[14] - Cash used for investing activities decreased to $984.1 million, down 26.7% from $1,340.9 million in the prior year[35] Sales and Revenue Trends - Net sales for fiscal year 2024 increased by 21% to $6,468 million, including $1,107 million from acquisitions[63] - Segment net sales for North America decreased by 4% to $1,113.2 million, while international sales decreased by 7% to $498.7 million, resulting in total segment net sales of $1,611.9 million, down 5% year-over-year[37] - In Q4 2024, net sales declined by 5% to $1,611.9 million, with volume down 8% due to market share losses and a voluntary product withdrawal[66] - The company experienced a 21% year-over-year growth in total segment net sales, reaching $6,467.6 million for the thirteen weeks ended May 26, 2024[44] Expenses and Charges - SG&A expenses increased by $151.4 million to $701.4 million, including $12.8 million related to LW EMEA integration[90] - The company recorded a $95.9 million charge for the write-off of excess raw potatoes in North America, impacting net income by approximately $72 million after-tax[27] - The implementation of a new ERP system is estimated to have reduced net sales by approximately $135 million, negatively impacting net income by about $95 million[27] - Adjusted Gross Profit declined by $72.2 million to $363.0 million, impacted by a $40 million charge from a voluntary product withdrawal and lower sales volumes[72] Debt and Equity - Long-term debt and financing obligations, excluding current portion, rose to $3,440.7 million from $3,248.4 million, an increase of 5.9%[32] - The company reported a total stockholders' equity of $1,787.8 million as of May 26, 2024, up from $1,411.3 million a year earlier, indicating a growth of 26.6%[32] - The company issued $592.0 million in debt, with repayments totaling $401.1 million, resulting in a net cash used for financing activities of $48.0 million[35] Market Outlook - The company expects fiscal 2025 net sales between $6.6 billion and $6.8 billion, reflecting growth of approximately 2 percent to 5 percent[12] - Fiscal 2025 net income is projected to be between $630 million and $705 million, with diluted EPS ranging from $4.35 to $4.85[13] - The company expects fiscal 2025 to be challenging due to a supply-demand imbalance in the market[62]

Shareholders who purchased shares of LW during the class period listed are encouraged to contact the firm regarding possible lead plaintiff appointment. Appointment as lead plaintiff is not required to partake in any recovery. CLASS PERIOD: July 25, 2023 to April 3, 2024 NEXT STEPS FOR SHAREHOLDERS: Once you register as a shareholder who purchased shares of LW during the timeframe listed above, you will be enrolled in a portfolio monitoring software to provide you with status updates throughout the lifecycl ...

Lamb Weston Holdings, Inc. (LW) is likely to register top and bottom-line growth when it reports fourthquarter fiscal 2024 earnings on Jul 24. The Zacks Consensus Estimate for revenues is pegged at $1.7 billion, which suggests growth of 0.8% from the prior-year quarter's reported figure. The consensus mark for the fiscal 2024 top line is pegged at $6.6 billion, indicating a growth of 22.7% from the prior-year reported figure. The consensus mark for quarterly earnings has remained unchanged in the past 30 da ...

LW's Capacity Expansion (LW's October 2023 Investor Day Presentation slide) - Gross Margin LW's Historical Gross Margin and Adjusted EBITDA Margin (Company Data, GS Analytics Research) LW's Historical Segment-wise Adjusted EBITDA Margin (Company Data, GS Analytics Research) Valuation and Conclusion Sector Median LW 5Y Avg. I believe this lower-than-historical valuation is due to investor concerns about lower restaurant traffic and loss of market share related to customers going away due to th disruption rel ...

NEW YORK, July 17, 2024 (GLOBE NEWSWIRE) -- WHAT TO DO NEXT: To join the Lamb Weston class action, go to https://rosenlegal.com/submit-form/? case_id=26209 or call Phillip Kim, Esq. toll-free at 866-767-3653 or email case@rosenlegal.com for information on the class action. A class action lawsuit has already been filed. If you wish to serve as lead plaintiff, you must move the Court no later than August 12, 2024. A lead plaintiff is a representative party acting on behalf of other class members in directing ...