Amplify Snack Brands, the US company behind SkinnyPop popcorn and Paqui tortilla chips, today (8 August) booked an increase in first-half sales and profits alongside news of its move to buy UK crisp maker Tyrrells.
The company posted net income of US$17.2m for the six months to the end of June, more than double the $8.5m generated in the first half of 2015. Operating income stood at $35.6m, versus $21.5m a year ago.
The growth in profits came on the back of a 24.6% increase in net sales to $114.2m.
Reflecting on a second quarter of rising sales and profits, Tom Ennis, Amplify Snack Brands’ president and CEO, said: “Our brand momentum continued at a strong pace resulting in another quarter of record revenue and profitability. Our second quarter performance was fueled by strong SkinnyPop sales growth, the further rollout of Paqui, and contribution from our recent acquisition of Oatmega.”
Alongside the publication of Amplify Snack Brands’ first-half results, the company announced a deal to buy UK crisp maker Tyrrells from Bahrain-based private-equity firm Investcorp.
Ennis said: “Tyrrells represents a highly strategic, rapidly growing and sizeable acquisition for Amplify and greatly expands our snacking categories and international presence.”
Amplify Snack Brands upped its forecasts for net sales and adjusted EBITDA on the back of the Tyrrells deal. The company expects to finalise the Tyrrells acquisition by the end of September.
The company now estimates net sales will hit $260-270m, with adjusted EBITDA reaching $92-96m. In May, Amplify Snack Brands had forecast net sales would grow to $233-237m in 2016 and adjusted EBITDA would increase to $88-91m. At the time, it said the forecasts excluded the impact of the Boundless Nutrition deal.