John B. Sanfilippo & Son was able to report higher first-half sales and earnings, despite volume and value declines in the second half.
The company said yesterday (30 January) that first-half net sales increased to US$393.1m, up from $380m in the comparable period of last year. The group attributed the gain to higher selling prices, which offset a volume decrease of 5.4% in the six month period. Net earnings in the first-half rose to US$15.8m, up from $11.8m, the group added.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
“We are pleased with our results for the first two quarters of fiscal 2013, especially in the continued growth of our Fisher brand baking nut business,” explained Jeffrey Sanfilippo, chairman and CEO. “Our significant increase in promotional spending and advertising, while negatively impacting our current net income, is intended to achieve growth for our higher-margin branded business both now and in the future.
However, second quarter net sales dropped 3.4% with volumes down 9.2%, as higher selling prices dented demand. The company emphasised that overall volume declines were offset “slightly” by higher sales of its Fisher brand. Net income in the three moths fell 11.3%.
