Hershey Reaffirms FY15 Outlook; Board Authorizes $250 Mln Stock Buyback

(RTTNews) - Chocolate maker Hershey Co. (HSY) on Wednesday reaffirmed its full year 2015 financial outlook previously provided on January 29.

Specifically, the company estimates full year 2015 net sales will increase 5.5% to 7.5%, including a net benefit from acquisitions and divestitures of about 2.5 points and unfavorable foreign currency exchange of about 1 point.

The company expects that 2015 gross margin expansion of 135 to 145 basis points will contribute to an increase in adjusted earnings per share of 8% to 10%, including dilution from acquisitions and divestitures of $0.03 to $0.05 per share.

Analysts polled by Thomson Reuters currently expect the company to record earnings per share growth of 9.5% and revenue growth of 6.1% for the full year 2015.

Hershey also said that its Board of Directors has approved an additional $250 million stock repurchase authorization to repurchase shares of its common stock.