(Reuters) – Conagra Brands Inc (NYSE:) Inc lowered Thursday’s full-year profit outlook due to spiralling transportation costs and rising raw material prices. This impacted the margins of this packaged food manufacturer.

Conagra’s business has suffered since the pandemic. The strained supply chain led to higher freight costs, which in turn drove up freight prices. Resurgent consumer demand also resulted into increased costs for ingredients like corn, wheat and proteins.

Chicago-based firm has made several pricing adjustments in recent months, but the company does not anticipate that it will fully offset cost pressures for fiscal 2022 because of the delay in the implementation.

According to the company, adjusted profits will be approximately $2.35 per shares, as opposed to $2.50 that it had expected.

The third quarter ending February 27, saw net sales rise 5.1% to $2.91 trillion. Refinitiv IBES data shows that analysts had an average expectation of sales reaching $2.85 billion.

Premarket trade saw shares of Conagra fall by about 4%.