Seneca Foods posts quarterly loss of $8 million
August 4, 2011
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, sustained a loss of $7,975,000 in the first quarter ended July 2. This compared with income of $5,275,000, equal to 43c per share on the common stock, in the same period a year ago.
Net sales rose 28% to $259,083,000 from $219,942,000 in the first quarter of fiscal 2011. The company attributed the gain to increased sales volume of $42.8 million, partially offset by lower selling prices and a less favorable sales mix of $3.7 million.
“The strong sales can be attributed to the timing of Easter this year compared with last year, as well as customers’ heavy buying ahead of announced price increases,” said Kraig H. Kayser, president and chief executive officer. “While disappointed in the quarterly loss, we know find ourselves in a much more balanced inventory position heading into this year’s production season.”