• Q3 net earnings up 7%
  • Profits helped by US cheese prices and dairy ingredients markets
  • Canadian dollar and December recall have impact
Saputos sales and earnings rose in the third quarter

Saputo's sales and earnings rose in the third quarter

Canadian dairy processor Saputo has posted a rise in third-quarter sales and earnings thanks to higher US cheese prices and a stronger market for dairy ingredients.

Saputo yesterday (3 February) booked a 7.2% increase in net earnings to C$104.3m (US$105.9m) for the three months to 31 December. EBITDA was up 3.9% to C$183.5m and sales climbed 3% to C$1.54bn.

A better average block price per pound of cheese in the US, where Saputo also benefited from a "more favourable" dairy ingredients market, helped sales and profits. Higher milk selling prices and a healthier dairy ingredients market in Argentina also boosted the numbers.

However, the strength of the Canadian dollar against the US dollar and the Argentinian peso hit sales by C$27m and EBITDA by C$3m.

The December recall of a clutch of cheese products also meant Saputo recorded a charge of C$1.9m.

Click here for the complete earnings statement.