ZURICH, SWITERZLAND — The stock-keeping unit rationalization strategy put in place to improve capacity utilization and reduce investment capital expenditure allocation weighed on revenue in North America at Aryzta AG in the third quarter ended April 30.

Revenue in North America during the third quarter ended April 30 totaled €509.4 million ($566.2 million), up 21.5% from the same period a year ago. Currency movements provided a positive impact of 21.3%, and acquisitions provided a positive impact of 6.9%, but underlying revenue growth declined 6.7%, which compared with a decline of 8.4% in the second quarter of fiscal 2015 and a decline of 3.2% in the first quarter.

Owen Killian, c.e.o. of Aryzta.

“As anticipated, underlying revenue declined in North America by (6.7%) in the quarter, and this trend is expected to continue through Q4,” said Owen Killian, chief executive officer. “Food Europe has yet to recover in Switzerland, where the consumer economy has suffered since the removal of the currency peg in January and in France due to security concerns in the quarter.”

He said that notwithstanding the short-term weakness in performance, Aryzta is confident its business model is intact.

“There is increasing evidence of cross-selling through the existing Customer Centric Strategy, and this will deliver future earnings growth,” he said.

Overall, total group revenue at Aryzta totaled €973.2 million ($1,082.7 million) in the third quarter, up 13.2% from the same period a year ago. Currency movement contributed 12.4%, while acquisitions provided 3.1%. Underlying revenue growth eased 2.3% in the third quarter.