- Perrigo Company plc's (NYSE: PRGO) Q1 FY22 sales increased 6.4% Y/Y to $1.07 billion, almost in line with the consensus of $1.1 billion.
- The growth was led by strong consumer demand, particularly for cough/cold products globally and infant formula in the U.S. after competitor recall.
- Adjusted EPS decreased 34% to $0.33, as higher sales volumes, increased pricing, and procurement actions were more than offset by cost headwinds and unfavorable foreign exchange rate movements.
- Currency-neutral EPS was $0.37, including a $0.02 per share negative impact from the war in Ukraine.
- Guidance: Perrigo expects FY22 sales growth of 8.5% - 9.5% compared to the previous outlook of 3.5% to 4.5%.
- It sees sales of $4.49 billion - $4.53 billion, beating the consensus of $4.49 billion.
- It expects organic sales growth of 8% - 9% up from 7.0% - 8.0% expected earlier.
- The company expects adjusted EPS of $2.30-$2.40, up from $2.10 - $2.30, reflecting approximately $0.35 from the HRA acquisition, offset by $0.10 from the unfavorable exchange rate, $0.05 Russia impact, and around $0.05 in higher interest expense.
- Price Action: PRGO shares are up 5.52% at $34.11 during the market session on the last check Wednesday.
