SunOpta net profit rockets 85% on packaged foods sales

By Caroline Scott-Thomas

- Last updated on GMT

Related tags Generally accepted accounting principles Organic food

SunOpta net profit rockets 85% on packaged foods sales
Canadian natural and organics group SunOpta has reported an 85% profit surge in the second quarter of 2012 driven by strong growth in packaged foods sales.

For the quarter ended June 30, the company reported net earnings of C$8.1m, compared to C$4.4m for the prior year period, and revenue rose 2.6% to $282.3m versus revenue of $275.2m in the second quarter of 2011.

SunOpta CEO Steve Bromley said in a statement: "We are very pleased with our second quarter and first half results as they reflect continued momentum in our core natural and organic foods business, plus the positive impact of operational improvements which we have continued to implement.”

Changes in the company’s business structure included realigning it according to the type of customers and markets served, rather than by product groupings. As a result, SunOpta Foods now consists of four operating segments: Grains and Foods Group, Ingredients Group, Consumer Products Group and International Foods Group. The restructuring also included laying off 6% of its workforce, although the company has said it does not expect to see cost savings from that move until next year.

Bromley added that the company had also amended and expanded its credit facilities for supporting its core food business in North America during the second quarter.

“These new facilities will provide additional flexibility in support of our internal growth initiatives as well as potential acquisitions,”​ he said. “We remain confident in our focus on natural and organic foods and our strategy to improve operating margins and return on assets, and are encouraged by our progress."

SunOpta shares closed at C$5.12 on the Toronto stock exchange Friday following the results announcement, up slightly from C$5.10 at close on Thursday. The company’s shares have moved between a low of $4.13 and a high of $6.20 in the past 52-week period.

Related news

Related products

show more

Prepare for your future with protein

Prepare for your future with protein

Glanbia Nutritionals | 30-Mar-2023 | Technical / White Paper

Understand your choices and considerations in choosing a protein ingredients supplier and partner.

Elite Nutrition for Everybody

Elite Nutrition for Everybody

ADM | 22-Mar-2023 | Case Study

Looking for world-class, proprietary formulations that can take your brand to the next level? ADM can help. We offer an unmatched range of specialty ingredients...

Ageing male syndrome

Ageing male syndrome

Chemical Resources (CHERESO) | 06-Mar-2023 | Technical / White Paper

Most of the men over the age of 40 face common lifestyle issues like sleep disturbance, increased urination, irritability, anxiety etc. Most of these issues...

Maximize Cost Efficiency in Commodity Oils

Maximize Cost Efficiency in Commodity Oils

Alianza Team USA | 01-Mar-2023 | Case Study

Alianza Team is a multinational company specializing in fats and oils with presence in the USA, Colombia, Mexico, and Chile. Our commitment is to generate...

Related suppliers

Follow us


View more