Cheerios maker General Mills tops quarterly sales estimates on higher prices

investing.com:

(Reuters) -General Mills exceeded analysts' expectations for quarterly sales on Wednesday, as price hikes on its breakfast cereals, snack bars and pet food products helped cushion a blow from slowing demand.

Shares of the Minnesota-based company, which have fallen more than 21% this year, rose more than 1% in premarket trade, as it also reaffirmed its annual sales and profit targets.

Packaged food makers have hiked product prices multiple times over the past year, in a bid to counter the spiraling impact from higher labor, stronger dollar and raw material costs, even as some of these expenses have now eased from their peaks.

General Mills (NYSE:GIS)' gross margin rose 540 basis points to 36.1% in the first quarter

The Cheerios cereal maker reported net sales $4.91 billion in the first quarter compared with $4.72 billion a year earlier. Analysts had expected sales of $4.88 billion, according to LSEG data.