Weak demand drives Pinnacle’s earnings lower
PARSIPPANY, N.J. — Pinnacle Foods Finance L.L.C., owner of brands such as Birds Eye, Duncan Hines and Vlasic, recorded earnings of $9,539,000 during the quarter ended March 25, a decline compared with the same period of the previous year when earnings were $20,252,000.
Sales during the quarter increased slightly to $616,925,000 from $606,311,000 during the previous year.
“Despite continuing significant input cost inflation and a weak consumer environment, we remained focused on building our brands by increasing our investment behind new products, including the breakthrough Duncan Hines Frosting Creations, and in our high impact marketing programs,” said Bob Gamgort, chief executive officer. “We expect input cost inflation to moderate in the second half of 2012 based on our current coverage and, therefore, our profit margins to improve.”