ConAgra Profit Drops 32% as Sales Decline

ConAgra Foods Inc., the third-largest U.S. food company, said profit plunged 32% in its fiscal second quarter as sales fell and fuel and packaging costs rose.

Net income dropped to $163.1 million, or 31 cents a share, in the three months ended Nov. 27 from $239.6 million, or 47 cents, a year earlier, Omaha-based ConAgra said. Sales fell 5% to $3.81 billion. ConAgra’s profit has declined in five of the last six quarters.

Sales fell for a grouping of ConAgra’s top 30 brands, including Hunt’s Ketchup and Healthy Choice entrees, pushing operating profit down 17% in the company’s biggest business, retail products.

Chief Executive Gary Rodkin said he would lay out plans in March to fix the company, which in March had to restate two years of results.

Shares of ConAgra fell 34 cents to $20.60.