Grocery/Diversified Products
Grocery/Diversified Products
Grocery/Diversified Products operating profit increased nearly 15 percent, led by Hunt-Wesson's robust operating profit growth, in part due to successful acquisitions. The consumer frozen foods, microwave products and private label businesses also contributed to the earnings gain. Potato products operating profit was slightly above the previous year's strong result. Acquisitions and unit volume growth drove the 9-percent segment sales increase.
"We are markedly improving the way we manage our businesses across the board -- from in-store merchandising to back-office support systems. But we don't change a thing unless we can serve a customer better or satisfy a consumer better."
Dave Gustin
President & Chief Operating Officer
ConAgra Grocery Products Companies
"ConAgra's international growth is limited only by our imagination and energy. Our expertise across the food chain and our strong customer relationships around the world are powerful tools for global expansion. We see new opportunities every day."Refrigerated Foods
Jim Watkins
President & Chief Operating Officer
ConAgra Diversified Products Companies
Refrigerated Foods operating profit decreased 8 percent, in large part because escalating grain prices drove up feed costs and squeezed margins before normal industry adjustments could soften the impact. Operating profit increased in the cheese products, processed meats, chicken products and turkey products businesses. Earnings dropped in beef and pork. Segment sales decreased 4 percent mainly due to lower selling prices in the beef industry, divestitures and the transfer of a trading business to the Food Inputs & Ingredients segment.
"We are fundamentally transforming our businesses -- systems, processes, culture and expectations --- to leverage our protein powerhouse. We have the leaders and the teams in place to make our businesses the best in their industries in product quality and customer service."
Lee Lochmann
President & Chief Operating Officer
ConAgra Refrigerated Foods Companies
Food Inputs & Ingredients
Many businesses contributed to the strong Food Inputs & Ingredients operating profit growth of 35 percent. They include grain merchandising, the crop inputs business, commodity services, specialty food ingredients and the dry edible bean business. The segment's profit performance also benefited from a barley malting business acquisition during fiscal 1996 and business dispositions the previous year. A 13-percent segment sales gain was due to volume growth, higher commodity prices and the transfer of a trading business from the Refrigerated Foods segment.
"The coming changes in the world of agriculture are mind-boggling, but we have built a business that can seize the opportunities changes will bring. We've designed our businesses in anticipation of a rapidly growing world population, burgeoning demand for agricultural products, increasing environmental concerns and the biotechnology revolution."
Floyd McKinnerney
President & Chief Operating Officer
ConAgra Agri-Products Companies
"Rapidly growing worldwide demand for grain and grain-based products is a golden opportunity for our businesses. We are in an excellent position to meet that demand in the years ahead with both commodity grain and value-added grain-based products."
Tom Manuel
President & Chief Operating Officer
ConAgra Trading and Processing Companies