Hain Celestial, the US-based organic and natural foods specialist, has updated its full-year earnings guidance to reflect a decision to dispose of its Pure Protein business.
Full-year sales guidance was updated to a range of $2.43bn to $2.5bn (previously $2.97-$3.04bn including Hain Pure Protein), while the outlook for adjusted EBITDA was lowered to $250-$260m ($340-355m).
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In a statement today (8 May), the company said third-quarter sales to 31 March from continuing operations, excluding the divestment of the Hain Pure Protein division which is expected to be completed in the first half of fiscal 2019, rose 8% to US$632.7m. They were up 2% in constant currency terms.
The Hain Pure Protein operating segment is being treated as discontinued operations.
Elsewhere in its earnings statement, Hain Celestial reported adjusted EBITDA fell to $73.4m from $75m a year earlier. Net income dropped 23% to $25.2m but was up 6% at $38.6m on an adjusted basis.
The company said third-quarter sales for Hain Pure Protein were $118.2m, relatively flat compared to the prior year. The segment recorded an operating loss of $2.1m.
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By GlobalDataSpeaking about the results, founder and chief executive Irwin Simon, said the firm is undertaking “strategic brand building improvements” in its top 500 SKU categories, which is expected to contribute to higher growth rates moving forward.
“The continued strength of our international businesses in the United Kingdom, Europe, Canada and key emerging markets, including India and the Middle East, fuelled our third-quarter financial results,” Simon added.
