Wrigley earnings increase 28% in first quarter
April 30, 2007
by FoodBusinessNews.net Staff
CHICAGO — Net earnings for the quarter ended March 31 for the Wm. Wrigley Jr. Co. were $142,701,000, equal to 52c per share on the common stock, up 28% from $111,885,000, or 40c per share, during the same period of last year.
Net sales were up 17% at $1,256,396,000 compared with $1,075,530,000 during the same quarter of last year.
"Our results this quarter reflect solid execution in the marketplace, including the launch of several new products and strong support of our brands around the world," said Bill Perez, president and chief executive officer. "We anticipate maintaining our positive momentum through focused investment in our key geographies and upcoming product launches, such as the gum brand ‘5’ in the U.S. marketplace."
Net sales for the North American market were $414 million, which was up 3% on volume gains of 4%. Orbit, Orbit White and Eclipse experienced double-digit gains with the Wrigley’s sugar stick brands up modestly. Extra gum had lower sales in the quarter. LifeSavers also had double-digit sales growth as a result of increased shipments.
For the EMEAI region, primarily Europe but also the Middle East, Africa and India, sales increased 27% to $565 million with a volume growth of 14%. Sales in Asia were up 23% to $217 million with a volume growth of 21%.
"We are pleased with our strong start to the new year — including growth contributions from our acquired confectionery brands, driven by higher sales and improved margins," said Bill Wrigley, executive chairman and chairman of the board. "Our continued business growth and strong financial results are particularly impressive because they were accomplished in the face of increased global competition."