Seneca earnings up narrowly in Q2

by Eric Schroeder
Share This:

MARION, N.Y. — Seneca Foods Corp., a processor of canned fruits and vegetables under the Libby’s, Aunt Nellie’s Farm Kitchen, Stokely’s and Seneca brands, recorded income of $2,883,000 in the second quarter ended Oct. 1, equal to 24c per share on the common stock. This compared with income of $2,811,000, or 23c per share, in the same period a year ago.

Net sales rose 3% to $283,616,000 from $275,448,000 in the second quarter of fiscal 2011. The company attributed the gain to higher selling prices and a more favorable sales mix of $24.5 million partially offset by decreased sales volume of $16.4 million.

“The improved earnings performance in the quarter reflects the fact that our inventories are in a much more balanced position than prior year heading into the holiday season,” said Kraig H. Kayser, president and chief executive officer. “The swing to higher LIFO charges is a reflection of significant increases in the cost of fuel, steel and produce, which are three primary cost inputs to our inventories.”

For the six months ended Oct. 1, Seneca sustained a loss of $5,092,000, which compared with earnings of $8,086,000 in the same period of fiscal 2011. Net sales for the six months were $542,699,000, up 10% from $495,390,000.

Comment on this Article
We welcome your thoughtful comments. Please comply with our Community rules.

The views expressed in the comments section of Food Business News do not reflect those of Food Business News or its parent company, Sosland Publishing Co., Kansas City, Mo. Concern regarding a specific comment may be registered with the Editor by clicking the Report Abuse link.