Maple Leaf Foods Q3 Sales Decreases
Launches new products to support sales, margin growth
Maple Leaf Foods sales for the third quarter decreased 3.6% to $1,296.6m compared to $1,344.3m last year. The sales decline was due primarily to lower fresh meat prices, the strategic exit or sale of non-profitable hog operations in 2008, and lower volumes in the Bakery Products Group. Net earnings reported $22.5m for the quarter compared to net loss of $12.9m for the same period prior year.
Adjusted operating earnings for meat products segment reported $18.1m compared to $0.8m for the prior year quarter. Adjusted operating earnings for Agribusiness Group reported $15.1m compared to $12.3m for the comparable quarter prior year.
Michael McCain, president and CEO of Maple Leaf Foods, said: We benefited from the core strength of our bakery business, combined with substantial recovery in our packaged meats business. The sustainable earnings improvements from the protein restructuring implemented over the past three years are now more visible in our results. While we are making great progress, we still have to complete the work underway to fuel higher growth and margins consistent with our consumer packaged goods peer group.
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