Snyder’s-Lance has announced the exit of its CEO even as it issued a shock profit warning, two announcements that sent it shares plunging by more than 15% on Monday.
The snacks maker, which owns the Kettle and Cape Cod crisps brands, said it now expects earnings of $1.05-$1.20 per share and revenues of $2.2bn-$2.25bn for the full year, down from its previous forecast of earnings of $1.32-$1.42 per share on revenues of $2.25-$2.29bn.
CFO Alex Pease said the company had “faced difficult challenges during the first quarter that have negatively impacted earnings”, adding that market share gains came at the expense of reduced margins due to increased investment.
The group also said that President and CEO Carl Lee Jr was retiring, after 12 years with the company. Brian Driscoll, the former CEO of Diamond Foods (acquired by Snyder’s-Lance last year), will serve as CEO on an interim basis until the board selects a permanent successor.