McCormick & Company, Incorporated has announced the appointment of Terry Thomas, Chief Growth Officer of Flowers Foods, Inc., to its Board of Directors effective January 23, 2024. Mr. Thomas brings with him over 30 years of experience in the consumer packaged goods (CPG) industry and a deep understanding of the retail landscape, with expertise in sales and key commercial functions.
Brendan M. Foley, President, and CEO of McCormick, expressed his confidence in the appointment, stating, "Mr. Thomas has an outstanding track record in the broader CPG and Food Industry of delivering business results and building strong teams. His deep understanding of the global retail landscape and his expertise in driving growth with leading brands makes him an excellent fit for McCormick."
Mr. Thomas's appointment is part of the board's commitment to its continuous refreshment process, ensuring a relevant mix of skills and experiences that complement McCormick's strategy and promote effective governance practices.
In response to the news, the company's shares have moved 3.4%, reaching a trading price of $66.8.
McCormick & Company, with over $6 billion in annual sales across 170 countries and territories, is a global leader in flavor, manufacturing, marketing, and distributing spices, seasoning mixes, condiments, and other flavorful products to the entire food industry.
The company's full 8-K submission is available here.
| 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | |
|---|---|---|---|---|---|---|
| Revenue (MM) | $5,303 | $5,347 | $5,601 | $6,318 | $6,350 | $6,605 |
| Revenue Growth | n/a | 0.84% | 4.75% | 12.79% | 0.52% | 4.01% |
| Operating Margins | 17% | 18% | 18% | 16% | 14% | 14% |
| Net Margins | 18% | 13% | 13% | 12% | 11% | 10% |
| Net Income (MM) | $933 | $703 | $747 | $755 | $682 | $647 |
| Net Interest Expense (MM) | $175 | $165 | $136 | $137 | $149 | $200 |
| Depreciation & Amort. (MM) | $151 | $159 | $165 | $186 | $201 | $203 |
| Earnings Per Share | $3.5 | $2.62 | $2.78 | $2.8 | $2.52 | $2.4 |
| EPS Growth | n/a | -25.14% | 6.11% | 0.72% | -10.0% | -4.76% |
| Diluted Shares (MM) | 266 | 268 | 269 | 270 | 270 | 270 |
| Free Cash Flow (MM) | $652 | $773 | $816 | $550 | $390 | $779 |
| Capital Expenditures (MM) | $169 | $174 | $225 | $278 | $262 | $282 |
| Current Ratio | 0.74 | 0.72 | 0.68 | 0.68 | 0.7 | 0.67 |
| Total Debt (MM) | $4,220 | $3,821 | $4,282 | $5,514 | $4,184 | $4,390 |
| Net Debt / EBITDA | 3.96 | 3.28 | 3.31 | 4.3 | 3.62 | 3.74 |
McCormick & Company has declining EPS growth, not enough current assets to cover current liabilities, and a highly leveraged balance sheet. McCormick & Company has decent operating margins with a stable trend and positive cash flows.
