The low income could be attributed to higher ingredient costs, high investment in advertising, low cereal sales and expenses due to its spinoff from Ralcorp.
Post's revenue declined to $250.5m from $259m.
The company noted that its cereal sales declined as consumers were discouraged by the higher prices and turned to quick-service restaurants. Several restaurants such as Starbucks, Subway, Burger King and other chains have expanded their breakfast menu to lure consumers.
The company's cereal sales fell by 8%; however, the decline in sales was offset by pricing actions. It experienced a drop in sales across all of its cereal products, except its Great Gains range, which registered a 25% increase in revenue due to advertising.
Earlier this year, Post Holdings separated from US-based food manufacturer Ralcorp Holding. Post cereal brands include Honey Bunches of Oats, Raisin Bran and Pebbles.
