Kellogg Company Reports Third Quarter 2010 Results. Kellogg Company today reported soft third quarter 2010 earnings per share, internal net sales and internal operating profit, consistent with the Company's October 21, 2010 announcement. Third quarter softness was due to weaker performance in some of the Company's core cereal markets, continued competitive intensity, and the impact of the cereal recal.
Third quarter reported net earnings were $338 million, a 6 percent decrease over the same quarter a year ago.
Kellogg International posted a 6 percent decline in third quarter reported net sales. On an internal basis, excluding the effects of currency translation, net sales for Kellogg International were down 2 percent. Weaker European cereal and Russian snack performance drove this decline and resulted in a 5 percent decrease in third quarter internal net sales in Europe. Latin America internal net sales rose 5 percent, and Asia Pacific internal net sales grew 2 percent.
Kellogg International operating profit declined 11 percent on a reported basis and 5 percent on an internal basis. While Europe's operating profit grew modestly, operating profit in Latin America and Asia Pacific were both lower year-over-year.