US-based organics group Hain Celestial saw its income tumble 35% for the first quarter due to one-time charges and higher commodities costs.
Net income for the quarter ended 30 September dropped to US$7m on a GAAP basis from $11.4m in the previous year.
Go deeper with GlobalData
Net sales, however, were up 22% over the period to $289.3m reflecting “strong consumer demand”.
The company said it was hit by costs related to the execution of the SKU Rationalization Program, acquisition-related integration and start-up costs in the UK.
Net income and earnings per share were affected by the highest commodity and input costs in the company’s history, estimated to be $10m higher than last year.
“We are pleased that, even with the economic difficulties experienced in many markets, consumers increased their demand for our natural and organic food and personal care products,” said Irwin Simon, president and chief executive officer. “We are also pleased to see that the sales momentum experienced in the first quarter continued through the month of October.”
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataThe company reconfirmed its fiscal year 2009 guidance of $1.2bn to $1.3bn in sales and $1.54 to $1.61 earnings per share.
