|Lamb Weston Holdings (LW) reported its first quarterly report since becoming an independent company after food giant ConAgra Brands Inc (CAG) span it off in November. Lamb Weston was $CAG's frozen-potato line with major cusomers like McDonalds MCD and YUM.|
Earnings: Q2 profit of $87.2 million, or 59 cents a share. On an adjusted basis 63 cents a share incl $9 million in costs related to spinoff from ConAgra. Revenue jumped 7% to $790.7 million. Profit grew 19% beating expectations on tightened supply chain. Analysts polled by Thomson Reuters had forecast earnings of 55 cents on $773.6 million in revenue.
Reaction: Lamb Weston NYSE: LW PreMarket: $39.23 +6.3% (15% over spinoff at $34).
Chief Executive Tom Werner said demand for frozen potato products is currently outpacing capacity, but the company plans to expand in the back half of the year.