Core brands boost Snyder’s-Lance in quarter
CHARLOTTE, N.C. — Strength in core brands contributed to a sharp increase in income at Snyder’s-Lance, Inc. during the third quarter. For the quarter ended Sept. 29, income was $17,765,000, equal to 26c per share on the common stock, which compared with income of $8,830,000, or 13c per share, during the same quarter of the previous year. Revenue for the quarter was $406,565,000, down 4% from $421,897,000 during the same quarter of the previous year.
“We are pleased with our financial results in the third quarter and are especially excited with our branded growth of 5% excluding the impact of the IBO conversion,” said David V. Singer, chief executive officer. “Our growth continues to be driven by our core brands (Snyder’s of Hanover pretzels, Lance sandwich crackers and Cape Cod kettle chips), which together were up over 7% for the quarter excluding the impact of the IBO conversion. Branded sales growth has been a priority this year, and I’m very excited with our progress.
“Our non-branded sales were down a little over 7% in the third quarter reflecting decisions to discontinue sales to certain customers who did not accept price increases. These decisions reduced revenue but led to widening profit margins compared to past quarters and freed production capacity to support profitable growth consistent with our plan to grow profits and shareholder value.”
For the nine months ended Sept. 29, the company had income of $51,304,000, or 75c per share, up 224% from $15,831,000, or 24c per share, during the same period of the previous year. Revenue for the nine months was $1,198,808,000, down 20% from $1,222,909,000 during the same period of the previous year.