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Mead Johnson (MJN): Misses Q4 Earnings and Sales Estimates

Mead Johnson Nutrition Company MJN is one of the leading providers of nutritional products for infants, children and expectant and nursing mothers. Its Enfa franchise that includes Enfamil infant formula accounts for almost 80% of the company's net sales.

Currently, Mead Johnson has a Zacks Rank #4 (Sell) but that could change following its fourth-quarter 2016 earnings report which has just released. (You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here ). We have highlighted some of the key details from the just-released announcement below:

Earnings: The Zacks Consensus Estimate stands at 83 cents per share for past 7 days. Mead Johnson's adjusted earnings per share of 78 cents missing this estimate by 6.0%.

Full year adjusted earnings came in at $3.40 per share which also misses the Zacks Consensus Estimate of $3.45 by 1.4%.

Mead Johnson Nutrition Company Price and EPS Surprise

Mead Johnson Nutrition Company Price and EPS Surprise | Mead Johnson Nutrition Company Quote

Revenues: Mead Johnson posted revenues of $901.6 million, missing the Zacks Consensus Estimate for revenues of $930 million by 3.1%.

Full year revenues came in at $3.74 billion which is nearly in line with the Zacks Consensus Estimate of $3.77 billion.

Key Stats : Revenue from Asia decreased 7% to $463.9 million, while sales from Latin America dropped 8% y/y to $156.3 million. On the other hand, sales from North America/Europe dropped 6% y/y to $308.4 million.

Major Factors : Per management, despite facing near-term challenges, Mead Johnson made good progress with its portfolio and channel transformation in China. Currently the company aims at doubling its sales volume via e-commerce out of Hong Kong over the prior quarter. The company's overall cash structure remains strong.

Stock Price : Following the earnings release, share prices did not show any movement in the pre-market trading session.

Check back later for our full write up on this Mead Johnson earnings report later!

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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