General Mills 3Q profit falls on higher costs

General Mills
General Mills' corporate campus in Golden Valley.
MPR photo/Tom Weber

(AP) - General Mills says its profit dropped 33 percent in the latest quarter on higher input costs and a stronger dollar, while sales increased on the strength of some of its well-known brands.

The Golden Valley-based food company also lifted its full-year profit forecast on increased marketing efforts.

For the third quarter, which ended Feb. 22, earnings fell to nearly $289 million, or 85 cents per share. Excluding one-time items, earnings were 79 cents per share compared with 87 cents in the prior-year period.

Analysts surveyed by Thomson Reuters, whose estimates generally exclude one-time items, forecast profit of 88 cents per share.

Third-quarter sales rose 4 percent to more than $3.5 billion, to meet analysts' estimates.

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