Cott income down 40% in third quarter
November 4, 2010
TORONTO — With the acquisition of Cliffstar Corp. impacting results, net income for Cott Corp. dropped 40% during the third quarter.
For the quarter ended Oct. 2, the company had income of $8.3 million, equal to 10c per share on the common stock, which compared with income of $13.9 million, equal to 18c per share, during the same quarter of the previous year. Revenue for the quarter was $490.6 million, up 21% from $404.9 million during the same quarter of the previous year.
“I am pleased that our third quarter saw core Cott volume growth of 4% in North America, ongoing cost savings on underlying SG&A and most importantly, the closing of our acquisition of Cliffstar,” said Jerry Fowden, chief executive officer. “New business wins and a more modest national brand promotional environment drove higher volumes in North America, alongside continued growth in Mexico and RCI. Additionally, the U.K. continued its prior trend of double-digit growth in the energy and sports isotonic categories. Our efforts to integrate Cliffstar are proceeding according to plan and we remain confident in our synergy targets and goals to drive cash generation and debt reduction.”
For the nine months ended Oct. 2, the company had income of $42.1 million, or 51c per share, down 38% from $67.5 million, or 93c per share, during the same period of the previous year. Revenue for the nine months was $1,278.2 million, up 6% from $1,201.7 million during the same period of the previous year.