WESTCHESTER, ILL. — Higher sales in the North American Retail grocery business and overall improved gross margins helped drive an earnings gain at TreeHouse Foods, Inc. during the second quarter.
For the quarter ended June 30, the company had income of $18,425,000, equal to 58c per share on the common stock, which compared with income of $8,292,000, or 27c per share, during the same quarter of the previous year. Net sales for the quarter were $372,605,000, up 1% from $367,369,000 during the same quarter of the previous year.
"We delivered outstanding results in the second quarter, and I am proud of our operating teams," said Sam K. Reed, chairman and chief executive officer. "We build upon momentum from the first quarter and continued to generate strong growth and expand margins. Our key categories showed unit sales growth, and our initiatives to improve operating margins paid off nicely."
For the six months ended June 30, the company had net income of $31,157,000, or 99c per share, up sharply from $10,353,000, or 33c per share, during the same period of the previous year. The company had net sales of $728,001,000 during the six months, nearly flat compared with $727,992,000 during the same period of the previous year.
"We believe our prospects for the future are excellent, and we are well-positioned not only to ride out the current recession but more importantly to capitalize upon the growing consumer demand for value without compromise and our customers’ increasing desires to market their own house brands," Mr. Reed said.
The company revised its full-year 2009 guidance to $2.02 to $2.07 per share from $1.82 to $1.87.