North American operations boost Cott second-quarter results
July 27, 2009
by FoodBusinessNews.net Staff
TORONTO — Better returns in the U.S. carbonated soft drink category helped drive Cott Corp. to net income of $33.7 million, equal to 48c per share on the common stock, in the second quarter ended June 27. This compared with a loss of $1.8 million in the same period a year ago.
Revenue for the quarter was $438.8 million, down 6% from $466.5 million during the same quarter of the previous year.
"We are pleased with our second-quarter results, which were driven by the steady improvement of our North American operations and a strong volume performance in our U.K. business," said Jerry Fowden, chief executive officer. "We also benefited from the improved U.S. carbonated soft drink category performance and a favorable tax benefit in the quarter.
"We will continue to support our customers’ efforts to increase private label penetration, while executing our plan to reduce operating costs and optimize capital expenditures."
Cott said its North America beverage case volume was essentially flat in the second quarter, as positive volumes in carbonated soft drinks were offset by declines in the bottled water category and the sale of a Canadian bottled water facility in 2008.
For the six months ended June 27, the company had income of $53.6 million, or 76c per share, which compared with a loss of $23.1 million during the same period of the previous year. Revenue for the six months was $805.8 million, down from $856.2 million during the same period of the previous year.