Green Mountain profit, sales up sharply in quarter
Feb. 2, 2012
by Eric Schroeder
WATERBURY, VT. — In a further sign that single-serve, at-home brewing systems are resonating with consumers, first-quarter earnings and sales at Green Mountain Coffee Roasters, Inc. rose sharply. Net income in the quarter ended Dec. 24, 2011, was $104,414,000, equal to 67c per share on the common stock, up from $2,412,000, or 2c per share, in the same period a year ago. Net sales in the first quarter rose 102% to $1,158,216,000 from $574,148,000.
“North American consumers continue to embrace the convenience, choice and consistent experience provided by the Keurig Single Cup Brewing system, and, as evidenced by our strong holiday sales, are encouraging friends and family to do the same,” said Lawrence J. Blanford, president and chief executive officer. “We believe our sales in the period were, in part, the result of our efforts to ensure strong in-stock positions on store shelves as well as due to growing awareness of the Keurig brand, which was aided by our nationwide advertising and strong in-store merchandising.”
G.M.C.R. attributed 90% of consolidated net sales during the first quarter to the Keurig brewing system and its recurring portion pack sales. Net sales from portion packs totaled $715.7 million, up 115% from the same period in fiscal 2011.
Meanwhile, G.M.C.R. said the acquisition of Van Houtte, completed on Dec. 17, 2010, contributed $111.9 million to consolidated net sales during the quarter.
G.M.C.R. said approximately 4.2 million brewers were sold by the company and its licensed partners during the first quarter, which was more than half of the 6.5 million brewers sold in all of fiscal 2011.